Originations

The average for the 30-year fixed slipped 2 basis points in anticipation of the Federal Open Market Committee pausing short-term rate hikes, said Sam Khater, chief economist.

Monetary policy officials have finally gone a month without tightening but made it clear more action could lie ahead, suggesting it could be awhile before housing finance costs consistently fall.

The uptick occurred as conforming rates pulled back for the second week in a row, coming in below the jumbo average according to the Mortgage Bankers Association.

Now is the time to recruit this diverse, technology-focused demographic into the home lending business, industry leaders say.

If a lender can address language barriers, the loans can be simple to originate and are likely to deliver higher yields as well as ultra-low delinquency rates, experts said.

While paying off existing loans is their most immediate priority, buying a house is the No. 1 aim within five-to-10 years, a FinLocker survey found.

After falling to a 10-year low in April, credit on the market diminished further last month, with government, conforming and jumbo offerings all decreasing, according to the Mortgage Bankers Association.

Republican-led bills seeking to reverse adjustments to mortgage fees and a bipartisan bill aiming to reinstate tax deductions on mortgage insurance stand to change operations for lenders if they pass.

Volume was lackluster on account of elevated rates and low inventory, Black Knight's report said.

The top five lenders have a combined second-lien volume of more than $95 billion at the end of Q1 2023.