Potential homebuyers are showing stronger demand for mortgages than they were a year ago, even though interest rates are higher now. Economists at Fannie Mae revised their projections for mortgage originations upward last week.

Mortgage rates are higher than economists expected them to be because inflation and other data are coming in at unexpected levels. The missed projections aren’t surprising, according to Chase’s Jamie Dimon.

Total issuance of Ginnie Mae mortgage-backed securities declined slightly during the first quarter of this year. Still, volume was up sharply from the first three months of 2023. (Includes four data tables.)

The use of discount points to lower mortgage rates has jumped in recent years as interest rates continued to climb. But the benefit of the points for the borrower is unclear, the CFPB said in a report.

A new survey shows that younger homebuyers are more willing to accept higher interest rates compared to older generations.

Mark Jones, chair of the Mortgage Bankers Association, expects home sales to remain suppressed due to limited supply and elevated interest rates.

The mortgage process met or exceeded the expectations of many homebuyers; interest rates look to be too high for potential homebuyers; the defect rate on mortgages declined again; tech vendor raises $19 million; Altisource Asset Management exits mortgage market.

In recent months, when interest rates have declined even slightly, loan applications have jumped, indicating that potential borrowers are keeping a close eye on interest rates. There could also be some relief on affordability as the inventory of homes for sale increased in February.

The CFPB survey found that large credit card issuers offered worse interest rates than smaller issuers across credit score buckets.

Federal Reserve Chair Jerome Powell acknowledged that housing sector activity has been largely subdued due to high interest rates. However, he said the central bank is “not targeting housing price inflation.”