The Refi Boom Goes Bombastic

Real Estate News Article

< Back

The Refi Boom Goes Bombastic

Written By: Jaymi Naciri
Tuesday, June 25, 2019

ldquo;Mortgage applications surged an impressive 26.8 WoWmdash;the largest jump since Jan 2015mdash;led by a massive spike in refis as mortgage rates tumbled alongside the Treasury market. 30-year rates ldquo;dropped back below 4.00mdash;the lowest since Jan 2018,rdquo; said Zerohedge.

So whatrsquo;s all the hubbub about? There are a few other key pieces of data at play:

bull; Refinances jumped 47 for the week last week and and are up 97 for the year.
bull; Mortgage volume rose by 41 over the same week a year ago.
bull; Real estate purchases also rose, by 10.

In fact, for the week of June 13, the 30-year fixed-rate mortgage is averaging 3.82. ldquo;Nearly halfway through the year, the popular product has managed a weekly increase only six times,rdquo; said MarketWatch. ldquo;It now stands at about a two-year low. The 15-year fixed-rate mortgage averaged 3.26, down from 3.28. The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.51, down 1 basis point.rdquo;

That has led to a cavalcade of refinances by savvy homeowners and investors who are paying attention to the market and falling ratesmdash;and/or who have a good lender whorsquo;s reaching out to customers when they have a unique chance to save some money.

ldquo;Consumers saw an opportunityhellip;and took it mdash; in a big way,rdquo; said CNBC. ldquo;Will rates stay this low or move even lower? Impossible to predict, but there are definite signals.rdquo; Matthew Graham, chief operating officer of Mortgage News Daily, told them, ldquo;Wersquo;re in a consolidation phase now where markets are coming to terms with the longer-term move lower that began in late 2018. The next move will depend on how economic data evolves and whether there are any more trade policy bombshells.rdquo;

The Federal reserve was expected to raise interest rates several times this year, and many experts thought mortgage rates would follow. ldquo;Markets and some analysts now predict that the Federal Reserve will cut interest rates this year,rdquo; said MarketWatch.nbsp;In addition, ldquo;Demand for home loans has been so robust that mortgage lender profit margins turned positive for the first time in nearly three years.rdquo;





Copyright© 2019 Realty Times®. All Rights Reserved

Updated: Monday, July 15, 2019

7 Packing Mistakes Youre Makin...
Here are ten moving mistakes you may be makingmdash;and how to avoid them.nbsp;
  • VA Closing Costs: Seller Paid ...
    Those who are eligible for a VA loan include not only veterans but also active duty personne...

  • Can I Put Cameras in My Vacati...
    There are plenty of ways vacation rental homeowners can leverage advances in security techno...

    Copyright ©2019Realty Times®. All Rights Reserved

    Housing Rebound: Factors to Consider
    In Miami we have had an incredible year of growth with an ever shrinking supply of condos...

    Hoteliers Buy Versace Mansion at Auction
    Gindi Family and Nakash Family of New York were the winners of the auction for Casa Casuarina...

    Stunning Estate for Sale on Allison Island
    Allison Island is one of the man made islands comprising Miami Beach. One half of the island...

    Avant Garde and Luxurious Penthouse on Fisher Island
    Fisher Island is home to some of the highest net worth individuals in Miami. It is a private...

    6000 Indian Creek, Condominium Spotlight
    6000 Indian Creek is a Sieger Suarez project that was completed in 2007 and consists of...

    $35 Million Buys you THIS on Star Island
    $35 Million for a home on Star Island is par for the course in Miami Beach real estate....

    Development Update
    It is looking like a dusty winter season in Miami, with all the construction rapidly underway,...

    North Bay Road Charm, 4330 North Bay Road
    4330 North Bay Road is a stunning example of Mediterranean architecture in Miami Beach....

    Best Home Improvements for Resale Value
    It could not be a better time for a homeowner to list their home for sale in Miami. The...

    Biscayne Gets a New Development
    The Melo Group of developers acquired 601 NE 23rd St last year and have conceived of 23...

    520 West Ave Residence 2301
    520 West Avenue is home of the Bentley Bay. Bentley Bay is comprised of two modern towers...

    Spice 2013, Guide 101
    Miami Spice is a program whereby most of the restaurants in the city encourage people to...

    Hollywood has a New Hotel
    Margaritaville Hollywood is coming to Hollywood Beach and is likely to completely alter...

    Sustainable Waterfront Home on Normandy Isle, 1.85 Million
    Rarely on the market do we find completely sustainable, off the grid, homes in Miami Beach....

    Housing Inventory on the Rise at the Close of Summer
    The Wallstreet Journal released numbers via Realtor.com regarding the inventory of available...

    Warm Spanish Style Home Listed on the Sunset Islands
    1844 W. 23rd Street is listed on the Miami Beach luxury real estate marketplace for $11...

    Former Gansevoort Getting Complete Eco-Renovation
    Last year the Perry Hotel, formerly the Gansevoort, was purchased for $230 million. The...

    Affordable Luxury Waterfront on Hibiscus Island
    A home that is considered affordable in Miami terms for waterfront is generally between...

    Bart Reines New Masterpiece Released on the Market
    Bart Reines is one of the worlds most impressive modern architects living, and he has just...

    New Listing on La Gorce Island
    98 La Gorce Court has just been listed for sale. This over 7800 square foot home with 8...