A drop in bond yields could signal a long-awaited break for would-be homebuyers

Jun 18, 2024
Falling interest rates on Treasuries could lead to lower mortgage rates, which are key to a recovery in the housing market.
While moderately lower rates may push some prospective buyers to jump in, rates may have to fall a lot before current homeowners give up their pre-2022 mortgages.
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Some good housing news? Foreclosures are down 24% from the same time a year ago

May 30, 2024
The wave that hit after the pandemic foreclosure moratorium first lifted has generally worked its way through the system.
The eviction moratorium in the CARES Act allowed homeowners "to maintain their mortgage in a healthy way," said Zillow's Nicole Bachaud.
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Delinquency rates rise for some types of household debt

Jan 8, 2024
But other positive factors in the economy are limiting the potential damage, economists say, like low unemployment.
Loan delinquencies are rising the most among young borrowers, low-income borrowers and borrowers with multiple types of debt.
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Is cost of housing the culprit for pessimism about economy?

Dec 12, 2023
Inflation dipped slightly, but housing remains the biggest driver of rising prices.
Rents have gone up almost 30% just in the last couple of years. And high mortgage rates mean buying is out of reach for many current renters.
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Loan applications are down, rejections are up. This could be good for taming inflation.

Nov 20, 2023
The application rate for any kind of credit dropped to just over 41% this year from nearly 45% in 2022, according to a Fed survey.
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More people are falling behind on debt, but fewer are in collections

Nov 8, 2023
Just before the pandemic, the New York Fed found that about 9% of people had bills that ended up in collections. Now, less than 5% do.
Medical debt previously made up about 60% of debt in collections. But data shows it doesn’t tell you much about someone’s creditworthiness.
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Mortgages are still in demand. Qualifying for one is a different story.

Sep 29, 2023
Pending home sales fell more than 7% in August, according to the National Association of Realtors. While demand for homes is still high, people are having a harder time qualifying for mortgages — and that's intensifying demand for cheaper homes.
"A lot of our borrowers are assuming that in 3 or 5 years, those interest rates are going to have come back down," said Chris Duncan of La Salle State Bank at Illinois.
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For public good, not for profit.

Islamic home financing expanding in the U.S., opening doors for Muslim homebuyers

Sep 18, 2023
Islamic finance offers alternatives to conventional loans and mortgages to comply with a religious prohibition on interest, which is seen as financial exploitation.
Sophie Mutamuliza, seated in purple headscarf, and her husband, Adam Abeza, standing, with their four children outside the family's home in Maine this summer. The family was one of the first to close on a home using Maine-based Androscoggin Bank's new Islamic mortgage solution.
Ari Snider

"Date the rate, marry the house": The lure of refinancing when buying a home

Aug 22, 2023
Mortgage rates are still high, but some real estate agents have been citing an old refrain: "You can always refinance." Except, others say, when you can't
Even if mortgages get cheaper, so might homes, which would complicate refinancing, said Sacramento real estate agent Erin Stumpf.
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How interest-only mortgages can be risky for borrowers and lenders

May 2, 2023
These mortgages were key to the economic climate that led to the 2008 financial crisis. First Republic had a lot of them.
First Republic Bank had a lot of of interest-only loans, which can be risky for both borrowers and lenders.
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