Core Insights - The average long-term U.S. mortgage rate has decreased to its lowest level in over three years, now at 6.06%, down from 6.16% last week and significantly lower than the 7.04% average from a year ago [1][2] - The last recorded lower average rate was on September 15, 2022, at 6.02% [1] Mortgage Rate Trends - The benchmark 30-year fixed mortgage rate has shown a decline, which enhances homebuyers' purchasing power amid a sluggish housing market [2] - Borrowing costs for 15-year fixed-rate mortgages have also decreased, falling to 5.38% from 5.46% last week, compared to an average of 6.27% a year ago [2]

Core Insights - Freddie Mac reported that the 30-year fixed-rate mortgage (FRM) averaged 6.06% as of January 15, 2026, marking a decrease from 6.16% the previous week and down from 7.04% a year ago [1][6] - The decline in mortgage rates has led to a significant increase in weekly purchase applications and refinance activity, indicating an improvement in housing activity and a positive outlook for the upcoming spring sales season [2] Mortgage Rate Trends - The 30-year FRM decreased to 6.06% from 6.16% week-over-week and from 7.04% year-over-year [6] - The 15-year FRM averaged 5.38%, down from 5.46% the previous week and from 6.27% a year ago [6] Freddie Mac's Mission - Freddie Mac aims to enhance liquidity, stability, and affordability in the housing market, having assisted millions of families in buying, renting, or maintaining their homes since its inception in 1970 [3]

Group 1: Office-to-Apartment Conversions - The trend of converting office buildings to apartments and condos is accelerating, with the number of repurposed units more than tripling since 2022 and the conversion pipeline expanding by 28% between 2024 and 2025 [1] - The total pipeline for office-to-apartment conversions has reached 70,700 units, with major cities like New York (8,310 units), Washington, D.C. (6,533 units), and Los Angeles (4,388 units) leading the way [1] - Office-to-apartment projects account for significant shares in cities such as Omaha (85%), Dallas (79%), and Minneapolis (78%), indicating a shift towards repurposing newer office spaces built between the 1990s and 2010s [1] Group 2: Fraud Prevention and Risk Management - FundingShield reported that 46.05% of transactions in Q4-2025 were flagged for risk, marking an all-time high of 3.2 issues per loan, with CPL discrepancies impacting 48.78% of transactions [2] - The company emphasizes the importance of real-time source-level validation and remediation in closing agent vetting, title diligence, and wire fraud prevention as regulatory pressure and cyber threats increase [2] - The rise in licensing irregularities surged by 58% quarter-over-quarter, highlighting the growing need for proactive verification in the mortgage industry [2] Group 3: Mortgage Market Trends - U.S. mortgage rates fell to 6.18%, leading to a surge in purchase and refinancing activity, which supports improving new-home sales and provides some relief to affordability challenges in the housing market [16] - Existing home sales rose by 5.1% in December to a 4.35 million annual pace, with single-family sales reaching their highest level since 2023, although inventory levels decreased [17] - Despite the drop in mortgage rates, overall prepayment activity remains subdued, with only 13% of the conventional 30-year universe showing meaningful rate incentive as of the end of 2025 [18] Group 4: Renovation Lending Opportunities - Renovation lending is identified as a significant untapped opportunity in the mortgage market, with training sessions being offered to help brokers structure and close various renovation loans effectively [9] - The training aims to position brokers as go-to resources for buyers and referral partners, emphasizing the importance of in-house disbursements and dedicated renovation support [9] Group 5: Technology and Innovation in Mortgage Services - ACES Quality Management conducted over 8.6 million quality-focused audits in 2025 and launched ACES Intelligence™, the first AI-powered quality control engine in the mortgage industry [5] - The new technology enables natural-language loan selection and automated exception writing, significantly reducing manual review time and enhancing overall efficiency [5] - ICE's MSP loan servicing system is highlighted as a best-in-class platform that can help servicers drive efficiency and meet evolving demands in a competitive market [6]

Core Viewpoint - President Trump's initiative to purchase $200 billion in mortgage bonds aims to lower borrowing costs and improve home affordability for Americans, coinciding with his proposal to ban large institutional investors from buying single-family homes [1][5]. Mortgage Market Impact - Following the announcement, the average interest rate for a 30-year fixed mortgage dropped to 5.99%, down from 6.21%, marking a significant 22-basis-point decrease [3][5]. - The bond-buying plan is expected to create a favorable environment for the housing market, as rising mortgage bond prices typically lead to lower interest rates [2][5]. Market Size and Limitations - The $200 billion in mortgage bonds represents only about 1.4% of the total U.S. mortgage market, which is approximately $14.5 trillion, suggesting limited impact on the overall housing market [6]. - The affordability gap remains significant, with a typical U.S. household needing an annual income of about $118,530 to afford a median-priced home of $402,500, which is over 50% higher than the current median household income of roughly $77,700 [6].

Group 1 - KBRA has assigned preliminary ratings to 10 classes of mortgage-backed notes from New Residential Mortgage Loan Trust 2026-NQM1, a $502.1 million non-prime RMBS transaction sponsored by Rithm Capital Corp [1] - The underlying mortgages in the pool were primarily originated by NewRez LLC (52.6%) and Caliber Home Loans Inc, LLC (27.4%), with all loans serviced by NewRez LLC [1] - NRMLT 2026-NQM1 is collateralized by a pool of 1,014 residential mortgages, with 31.7% originally securitized in NRMLT 2022-NQM5, which has been called [2] Group 2 - Borrowers in NRMLT 2026-NQM1 have a weighted average original credit score of 758, a weighted average original loan-to-value (LTV) of 72.2%, and a weighted average combined LTV (CLTV) of 72.2% [2] - The loans are seasoned approximately 15 months, with 31.7% of the pool seasoned over 2 years [2] Group 3 - KBRA's rating approach included loan-level analysis through its Residential Asset Loss Model (REALM), third-party loan file due diligence, cash flow modeling analysis, and reviews of key transaction parties [3] - The assessment also involved an evaluation of the transaction's legal structure and documentation [3]

Mortgage Rates Overview - Mortgage rates have decreased, with the 30-year fixed rate averaging 6.18%, down from 6.24% last week, marking the lowest level since September 2022 [1] - The current mortgage rates for various loan types are as follows: 30-year at 6.18%, 15-year at 5.49%, and 30-year jumbo at 6.37% [2] Market Conditions - The average total of discount and origination points for 30-year fixed mortgages is 0.34, indicating a strategy to lower mortgage rates through discount points while origination points are fees charged by lenders [2] - The national median family income for 2025 is projected at $104,200, with the median price of an existing home sold in December 2025 at $405,400, leading to a monthly payment of $1,982, which constitutes about 23% of a typical family's monthly income [3] Industry Insights - Increased housing inventory and stabilizing home prices create a favorable environment for potential buyers or those looking to refinance, according to industry experts [4] - President Trump's announcement to direct Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities led to a temporary dip in mortgage rates, which had already reached a 15-month low [5][6] - There is skepticism regarding the long-term impact of Trump's proposal, with experts suggesting that without additional support from monetary or fiscal policy, the effects may be limited [7]

Core Viewpoint - American mortgage rates are decreasing, with the average 30-year fixed mortgage rate settling just above 6%, following a peak above 7% in 2025, potentially creating a favorable environment for home buying in 2026 [1] Group 1: Mortgage Rate Trends - The average 30-year fixed mortgage rate has decreased to just above 6%, marking a near-historic low [1] - President Donald Trump has proposed a plan to further lower mortgage rates by directing Fannie Mae and Freddie Mac to purchase up to $200 billion in mortgage bonds [2] Group 2: Impact of Trump's Proposal - The large-scale purchase of mortgage bonds by Fannie Mae and Freddie Mac could theoretically reduce the yield investors demand, leading lenders to offer lower mortgage rates [3] - The overall impact of this proposal remains uncertain, as historical data suggests that tightening mortgage spreads has only resulted in modest reductions in mortgage costs [4] Group 3: Housing Affordability Considerations - A significant drop in mortgage rates is not expected, as housing affordability is influenced by various factors, including local market conditions and home prices [5] - The bond-buying initiative may lead to a modest decrease in rates, which could provide a financial advantage for potential homebuyers in 2026 [5]

Core Insights - The total cost of a $500,000 mortgage at a 6.25% interest rate amounts to $1,108,289, with $608,289 attributed to interest payments, effectively doubling the home price [2] - The amortization process results in slow equity building, with initial payments primarily covering interest rather than principal [3][4] - Additional costs such as property taxes and homeowners insurance can significantly increase monthly payments, potentially leading to financial strain [5][6] Mortgage Costs - A $500,000 mortgage incurs a monthly payment of $3,079 for principal and interest, with only $475 going towards principal in the first payment [1][4] - The inclusion of property tax and homeowners insurance can raise monthly payments to $5,579 if these costs total $6,000 annually [6] - Mortgage insurance premiums for loans with less than a 20% down payment can add an additional $150 to $350 per month, increasing total payments to at least $3,729 [6] Equity Building - The amortization schedule means that it may take years to break even on closing costs, which typically range from 2% to 5% of the purchase price [4] - The structure of fixed-rate mortgages means that the principal and interest payment remains constant, but the allocation between principal and interest changes over time [3] Financial Risks - An increase in monthly obligations due to additional costs can pose risks, as financial setbacks may lead to foreclosure even if the borrower can cover principal and interest [7]

PROVIDENCE, R.I., Jan. 13, 2026 (GLOBE NEWSWIRE) -- via IBN – Beeline Holdings, Inc. (NASDAQ: BLNE), a digital mortgage lender offering conventional mortgage products and alternative mortgage solutions for borrowers who do not meet traditional underwriting standards, alongside home equity products leveraging blockchain-enabled technology, commends President Trump's announcement that Freddie Mac and Fannie Mae will purchase $200 billion in mortgage-backed securities in an effort to lower mortgage rates. Mana ...

Moody's Chief Economist Mark Zandi warns that President Donald Trump‘s directive for Fannie Mae (OTC:FNMA) and Freddie Mac (OTC:FMCC) to purchase $200 billion in mortgage bonds will likely backfire, driving home prices higher rather than solving the nation’s “severe housing affordability problem.”Prices Vs. AffordabilityWhile President Trump claims his executive order will restore “affordability” and bring the “American Dream” back by lowering monthly payments, Zandi argues the plan ignores basic economics. ...