Coronavirus has brought chaos to financial markets like few other things have. Much of the fallout is unprecedented. This is especially true for interest rates and the mortgage market. In many ways, things are more chaotic now than they were in 2008. That has positive and negative implications. Here’s what you need to know.
Source: Kevin Litwicki MBSLIVE
Mortgage Market in Chaos. What You Need To Know

It’s no secret that the stock market has plummeted this week and only slightly less of a secret that the 10yr Treasury yield has dropped well into new all-time lows (on 4 straight days, in fact). Given that mortgage rates are often discussed in the context of the 10yr yield, why in the world aren’t they falling at the same pace? More frustratingly, why would many mortgage lenders keep rates unchanged on Tuesday and Wednesday even as 10yr yields dropped like a rock?
Source: Kevin Litwicki MBSLIVE
Why Can't Mortgage Rates Keep Up With Record Low Treasury Yields?

Another week ending with the lowest rates in more than 3 years will mean another week with the highest levels of refinance demand in more than 3 years. In fact, refi demand is now as high as it’s been since 2013, even though rates haven’t yet moved below 2016’s lows.
Source: Kevin Litwicki MBSLIVE
2020 Refi Boom Surpasses 2016's And It's Still Growing

How can we be talking about rates near all-time lows while stocks are near all-time highs? Doesn’t conventional wisdom dictate that rates and stock prices typically move in the same direction?
Source: Kevin Litwicki MBSLIVE
Higher Stocks and Lower Rates. Who's Lying?

As interest rates moved in an ever-narrower pattern in the 2nd half of 2019, we looked to early 2020 to break that cycle, for better or worse. So far, 2020 has delivered on the promise of increased volatility, but not for the reasons anyone expected.
Source: Kevin Litwicki MBSLIVE
2020 Refi Boom is Official, But For How Long?

By Friday of last week, it was clear that the coronavirus outbreak was having a significant impact on markets with stocks and bond yields (aka interest rates) both moving lower. Those same themes intensified this week, ultimately paving the way for the lowest mortgage rates since 2016.
Source: Kevin Litwicki MBSLIVE
Lowest Mortgage Rates Since 2016

Although there were a few caveats, last week saw one of the biggest jumps in new home construction in more than decade. Now this week’s data shows existing home sales at their highest since 2018, and close to highest levels in more than a decade. Is housing starting to boom again?
Source: Kevin Litwicki MBSLIVE
How Coronavirus is Helping Housing

The last housing boom didn’t end so well for many Americans. That “B” word is being thrown around again at the start of 2020, but things are very different this time around.
Source: Kevin Litwicki MBSLIVE
Is The Housing Market Booming Again?

Things are looking up for the housing market at the start of the new year. Granted, some of the following data pertains to the last few months of 2019, but it nonetheless speaks to a friendly shift that is arguably already well underway.
Source: Kevin Litwicki MBSLIVE
Housing Starting Strong in 2020

Everything’s relative when it comes to mortgage rates. For every homeowner that’s been concerned about a short-term increase in rates, there’s another who’s glad to remind them how high rates used to be.
Source: Kevin Litwicki MBSLIVE
Mortgage Rates Start 2020 on Strong Note