Mortgage Market Update 3-19-21

Mortgage rates increased again this week. The average rate on the 30-year fixed mortgage hit its last low of 2.75% at the end of January, and has since climbed pretty steadily, according to Mortgage News Daily. After a sizeable move overnight, it now stands at 3.45%, making homebuying even more expensive at the start of the all-important spring market.

Fannie Mae published a new rule on March 10th to make it tougher and more expensive to get an investment property mortgage. Borrowers who were planning to buy a second home with a conforming mortgage will likely encounter higher costs and possibly stricter requirements. The new rule puts extra risk on lenders, because they could be left with loans nobody wants to buy. Some lenders have already added a charge equal to 2.25% of the loan amount on all non-primary-residence applications.

The Fed just announced today that the temporary change to its supplementary leverage ratio (SLR) for bank holding companies will expire as scheduled on March 31. It means banks will have to lift their reserves by raising capital.

All applications should be locked when it gets approved. The rates may get worse before getting better, especially now with banks becoming new sellers in response to the Fed’s announcement this morning.

本周抵押贷款利率再次上升。据《貸款新闻日报》报道，1月底30年期固定抵押贷款的平均利率达到了2.75％的最后低点，此后一直稳定增长。经过一夜的大幅波动之后，目前为3.45％，这使得在最重要的春季市场开始时的购房价格变得更加昂贵。

房利美于3月10日发布了一条新规定，使投资性房地产抵押贷款变得更加困难且成本更高。计划购买的第二套房子的借款人可能会遇到更高的成本和更严格的要求。新规定给贷款銀行带来了额外的风险，因为贷款銀行可能需要保留下没人愿意购买的贷款。一些贷方已经在所有非主要居所申请中增加了相当于贷款金额的2.25％的费用。

美联储今天刚刚宣布，其对银行控股公司的补充杠杆比率（SLR）的临时变更将按计划于3月31日到期。这意味着银行将不得不通过筹集资金来增加储备。

所有批准的貸款申請都应該锁定利率。因為利率可能在变得更好之前就变得更糟，尤其是现在，随着今天上午美联储的宣布，银行成为新的卖方。

Economic Calendar

Report

Period

Estimate

Impact

Date: Mon. Mar. 22

Existing Home Sales

Feb

6.51M

Moderate

Date: Tue. Mar. 23

New Home Sales

Feb

875K

Moderate

Date: Wed. Mar. 24

Durable Goods Orders

Feb

1.2%

Moderate

Date: Thu. Mar. 25

Jobless Claims (Initial)

2.8%

High

Jobless Claims (Initial)

3/20

Moderate

Gross Domestic Product (GDP)

4.1

High

Date: Fri. Mar. 26

Personal Spending

Feb

0.1%

Moderate

Personal Consumption Expenditures and Core PCE

Feb

0.2%

High

Personal Consumption Expenditures and Core PCE

YOY

1.5%

High

Personal Income

Feb

-7.2%

Moderate

Consumer Sentiment Index (UoM)

Mar

83.0

Moderate

Today’s Rate

Mar. 19, 2021

Conforming Loan

Loan Term (Yr)

Rate (%)

APR (%)

30yr Fixed

2.875%

2.942%

15yr Fixed

2.125%

2.192%

High Balance Loan

Loan Term (Yr)

Rate (%)

APR (%)

30yr Fixed

2.875%

2.942%

15yr Fixed

2.125%

2.192%

Daily rate based on: SFR/Primary/LTV60/FICO 780/Purchase

IMPORTANT: Advertised rates were valid and effective as of the date reflected above, are for informational purposes only, and are subject to change without notice.

Loans are subject to credit and collateral approval. Advertised rates are based on a set of loan assumptions including a borrower with excellent credit history and optimal loan characteristics. Your final interest rate and annual percentage rate (APR) may differ depending on your individual transaction’s specific characteristics, and certain products may not be available for your situation. Several determining factors include, but are not limited to, the state of the property location, loan amount, documentation type, loan type, occupancy type, property type, loan to value, and credit score.

APR reflects the cost of credit over the term of the loan expressed as an annual rate. For mortgage loans, APR may include the interest rate, discount points (also referred to as “points”), and other charges or fees (such as mortgage insurance and origination fees), but does not necessarily take into account other loan-specific finance charges you may be required to pay.

Golden Star, Inc. dba Transglobal Lending, 185 W. Chestnut Ave., Monrovia, CA 91016, NMLS # 1437002 (www.transgloballending.com). All rights reserved. Equal Opportunity Employer and Equal Housing Lender. All mortgage products are subject to credit property approval. Rates, Program terms and conditions are subject to change without notice. Additional conditions, qualifications, and restrictions may apply. This is not an offer for extension of credit or a commitment to lend.