Weekly Mortgage News Roundup for Aug. 28, 2020
Mortgage rates stayed low this week as news on a new refinancing fee changed in buyers' favor. Here are some big stories worth reading:
Earlier in the month, Fannie and Freddie dropped a bombshell -- a 0.5% refinancing fee that was initially set to take effect on Sept. 1. It's now been pushed back to Dec. 1, which is good news for homeowners who haven't started the refinancing process yet. Of course, better news would be that fee going away completely, but let's hope.
The number of mortgages that haven't been paid in 90 days is at a high. But that doesn't mean homeowners are wrecking their credit left and right. A lot of those loans are in forbearance, and oddly enough, they count toward the total tally.
The mortgage forbearance rate fell slightly this week, which could signal that more Americans are recovering financially from the effects of the COVID-19 pandemic. We don't know if that rate will keep dropping, but this is certainly positive news.
VA loan activity climbed 114% since the start of the 2020 fiscal year (which ends at the end of Sept, if you're curious). There are plenty of benefits to getting a VA loan -- but you need that military connection to apply.
Low rates are sending buyers and refinancers clamoring for new loans. As such, mortgage lending has skyrocketed this year compared to last -- despite the ongoing recession.
Whether you're looking to buy a new home, refinance a mortgage, or simply keep tabs on the housing market, keep tuning in to The Ascent's mortgage coverage. It's your one-stop source for all things mortgage-related.
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Chances are, mortgage rates won't stay put at multi-decade lows for much longer. In fact, the Fed has already signaled that it expects rates to continue increasing. That's why taking action today is crucial, whether you're wanting to refinance and cut your mortgage payment or you're ready to pull the trigger on a new home purchase. Click here to get started by scanning the market for your best rate.