Before coronavirus, the average 30yr fixed mortgage rate was almost always 1.6% to 2.0% higher than 10yr Treasury yields. When bond volatility was extreme (especially when Treasury yields were dropping quickly), that gap could be wider, but it was never even close to current levels. Why might this be?
Source: Kevin Litwicki MBSLIVE
All-Time Low Mortgage Rates!

Massive joblessness and overly-inviting wording in the CARES Act with respect to forbearances is creating the biggest surge in mortgage non-payment ever seen. Mortgage investors have quickly reevaluated what they’re willing to pay for certain scenarios. The greater the number of forbearance risk factors, the higher you can expect the rate to be, EVEN IF you personally don’t agree that the risk factor applies in your case.
Source: Kevin Litwicki MBSLIVE
The Truth About Skipping Mortgage Payments (And The Consequences)

Source: Kevin Litwicki MBSLIVE
Mortgage Rates Are Super Low, But Not For Everyone

With ongoing unemployment claims soon to be 3 times higher than the previous record set in 2009 and the blanket forbearance pledge in the CARES Act, the percentage of homeowners not making mortgage payments has surged to previously unimaginable levels at an even more unimaginable pace.
Source: Kevin Litwicki MBSLIVE
In Response to Mortgage Market Concerns, Government Says "Take a Number!"

While some aspects of the housing/mortgage market have stabilized over the past few weeks, we’re still waiting for some important guidance about the path ahead.
Source: Kevin Litwicki MBSLIVE
Mortgage Market Still Waiting For Help

Just as the industry was coming to terms with unprecedented market volatility due to coronavirus, the details of the CARES Act (the coronavirus rescue/stimulus/relief bill) presented their own set of challenges. For some lenders and borrowers, these challenges are an even bigger deal than the recent market movement.
Source: Kevin Litwicki MBSLIVE
Finally a Glimmer of Hope For Mortgage Market Chaos

Things are changing rapidly in the mortgage market. Almost overnight, loan programs have disappeared, interest rates are all over the place, and more than a few lenders are closed for business indefinitely. All this despite the Federal Reserve buying more than $100 billion / week of mortgage debt. Is this another meltdown?
Source: Kevin Litwicki MBSLIVE
Are We In The Midst of Another Mortgage Meltdown?

There’s been no shortage of crazy weeks in the mortgage market lately, and this one was not to be outdone. By the end, the prices of the bonds that normally determine mortgage rates surged well into record highs. That would normally suggest the lowest mortgage rates ever, but the average lender is nowhere close.
Source: Kevin Litwicki MBSLIVE
Who Broke The Mortgage Market And When Will It Be Fixed?

Last week was the wildest in the history of the mortgage market. This week was wilder. It ended with a one-of-a-kind show of force from the Federal Reserve.
Source: Kevin Litwicki MBSLIVE
Mortgages Make The Fed Angry. You'd Like Them When They're Angry

The headline makes a lofty claim, but let’s put doubt to rest with 3 facts right up front.
Source: Kevin Litwicki MBSLIVE
Wildest Week For Mortgage Rates, Ever (Seriously)