Mortgage Rates Hit 5% for the First Time in Over a Decade
- Source: nationalmortgagenews.com
Treliant Takeaway:
Treliant’s Corporate & Regulatory Compliance (RCRM) professionals have deep mortgage originations experience. We have helped mortgage lenders navigate fluctuating volumes through process assessment and improvement and are able provide flexible resource models that limit the human resource capital as volumes change. We stand ready to assist.
Article Highlights:
On April 14, 2022, Spencer Lee of National Mortgage News reported that mortgage rates “hit a new high over the past week, with the 30-year Freddie Mac benchmark reaching 5% for the first time in over a decade.” Highlights are as follows:
- The 30-year fixed rate mortgage average came in at 5% in early April
- “The combination of rising mortgage rates, elevated home prices and tight inventory are making the pursuit of homeownership the most expensive in a generation,” said Sam Khater, chief economist at Freddie Mac.”
- The 15-year mortgage came in at 4.17%, 1.82% over the rate last year.
Treliant Conclusion:
As rates rise, origination volumes decrease. Now is the time to assess and improve processes. Many mortgage entities look to their servicing portfolio to offset the reduction in volumes. Rates increase, prepayments slow, and mortgage servicing rights become more valuable. For any of us in the industry for over 15 years, we know this cycle. Treliant can help with a variety of services including staff augmentation (we are licensed in 25 states and growing) and streamlining operations to reduce costs. Selling servicing? We can help make sure your portfolio attracts the best prices. Buying servicing? Let us help with due diligence to make sure you are buying quality servicing.