Navigate Today’s Mortgage Market: Rate Trends and Key Updates
In this week's weekly market update with the Brooks Kelly team, we’ll dive into the latest trends in the mortgage market and what they mean for you in North Texas.
Mortgage Market Trends
Over the past 45 days, mortgage rates have been on an upward trajectory. This shift can be attributed to stronger-than-expected economic indicators. Following the Federal Reserve's decision to adjust the short-term borrowing rate in September, the latest jobs report and Consumer Price Index (CPI) data have shown even more resilience in the economy. While this is positive news overall, it typically spells trouble for mortgage rates. Generally, when the economy falters, investors shift their money from stocks into mortgage bonds, driving rates down. Unfortunately, that’s not the case right now.
What’s Next?
With the upcoming election dominating headlines, it’s essential to keep an eye on potential outcomes. A victory for President Trump could signal positive developments for the economy, but it may not bode well for those hoping to see lower mortgage rates.
News You Can Use!
In exciting news, Fannie Mae and Freddie Mac have announced new appraisal waivers for loans up to 90% loan-to-value (LTV). This means that clients who are putting down less money can enjoy a quicker process and reduced fees, as they won’t need to pay for an appraisal—this applies specifically to conventional loans.
Moreover, these agencies will offer more robust inspection-based appraisal waivers, allowing for LTVs as high as 97%. This is great news for lower-income borrowers and many first-time homebuyers, as it allows for just a 3% down payment without the need for an appraisal. These changes are set to go live in Q1 2025, so stay tuned!
That wraps up this week's market update! Keep informed, and feel free to reach out if you have any questions or need assistance navigating the current market.
The Brooks Kelly Team Can Help
The Brooks Kelly Team is your trusted partner in home financing. With a commitment to outstanding customer service and over 100 years of combined mortgage experience, we create personalized strategies to meet your unique needs. As a top 1% nationwide loan originator, as recognized by Scottsman’s Guide, we focus on excellence and believe in seeing our clients as more than just their credit scores. Our dedicated local underwriters work diligently to ensure your loan closes in 21 days or less, making closing day seamless through table funding. Whether you’re looking for your first home or your forever home, let the Brooks Kelly Team help you unlock the door to your dreams.
Download their free Lender Guide here.
