With the new year approaching, mortgage professionals and homebuyers alike are eager to see what 2025 has in store for the real estate market. After all, 2024 didn’t deliver the market improvements many had hoped for. For several years now, the real estate market has been stifled by persistent inflation, stubbornly high mortgage rates, and other subpar market conditions. So, … Read More
Today’s mortgage lenders are grappling with significant challenges. Not only is the cost of origination on the rise, but the ever-present risk of Fannie Mae and Freddie Mac repurchase demands is adding to the pressure. Fortunately, you can reduce your lending costs and mitigate your risk of repurchase demands by employing automated verifications of income and employment (VOE). Automation can … Read More
Over the past three years, the cost of living has increased substantially. Prices rose by 9.1% in 2022, 3.3% in 2023, and 3% in 2024. Just like American consumers, mortgage lenders are facing a cost crisis of their own. As of 2023, the average cost per loan was nearly $12,500. As loan origination costs rise, lenders’ profits are dwindling. During … Read More
2024 has been a defining year for the mortgage industry. While it began with many of the same challenges as 2023 – high mortgage rates, prohibitory housing prices, and limited inventory – it also ushered in key changes, including two interest rate cuts, several regulatory shifts, and a presidential election. As the year comes to a close, many mortgage professionals … Read More
In a lending landscape where borrowers are hard to come by, it’s important to focus your lead generation efforts where they’ll have the greatest impact. Currently, the most promising subset of prospective borrowers are first-time homebuyers – they makeup 35% to 48% of all new purchases and 8% to 12% of all refinances. Below, we’ll explore the key aspects of … Read More
With two interest rate cuts and a presidential election, 2024 has been an eventful year for the mortgage industry. The Federal Reserve’s recent rate cuts signal a welcomed shift in monetary policy. However, some of the next administration’s proposed policies may reignite inflation, causing interest rates to climb back up again. According to Realtor.com’s senior economist Ralph McLaughlin, “While we … Read More
