Am I just dumb, or am I missing something? The MSM and the NAR keep telling me we are in the midst of a housing recovery. We are now in the Spring selling season. Can someone explain to me how mortgage applications can be falling when we are in the midst of a housing recovery? Can someone explain to me how mortgage applications could be 20% lower than they were at the depths of the 2009 recession if we are having a housing recovery? I’m sure some Wall Street banker, NAR economist, or MSM shill can enlighten me.
By the way, mortgage rates are at a 6 month high and headed higher. That should do wonders for the “housing recovery”. I wish I was smarter so I could understand this housing recovery.
The Refinance Index decreased 5 percent from the previous week. The seasonally adjusted Purchase Index decreased 3 percent from one week earlier.
…
“The announcement of stronger than anticipated job growth last week led to an increase in interest rates, with the 30 year fixed mortgage rate in our survey reaching the highest level in more than six months,” said Mike Fratantoni, MBA’s Vice President of Research and Economics. “Refinance applications declined as a result, but remain high given the steady flow of HARP applications.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) increased to 3.81 percent, the highest rate since August 2012, from 3.70 percent, with points remaining unchanged at 0.39 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.
…
“The announcement of stronger than anticipated job growth last week led to an increase in interest rates, with the 30 year fixed mortgage rate in our survey reaching the highest level in more than six months,” said Mike Fratantoni, MBA’s Vice President of Research and Economics. “Refinance applications declined as a result, but remain high given the steady flow of HARP applications.”
…
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417,500 or less) increased to 3.81 percent, the highest rate since August 2012, from 3.70 percent, with points remaining unchanged at 0.39 (including the origination fee) for 80 percent loan-to-value ratio (LTV) loans.
Bostonbob says:
Admin,
They must all be paying cash.
Bob.
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13th March 2013 at 9:48 am
Administrator says:
Bob
We all know the average American is flush with cash. Just look at the SURGING retail sales and the fact that only 20% of the country is on food stamps.
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13th March 2013 at 9:50 am
wip says:
Admin, you are one sarcastic M’fer. Did you ever watch Phil Hartman in the show called News Radio? Funny stuff.
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13th March 2013 at 10:20 am
Administrator says:
wip
I loved News Radio. Phil Hartman made that show.
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13th March 2013 at 10:29 am
BUCKHED says:
HARP……isn’t that one of those ” Secret” projects RE spoke of ? Holy Shit the gooberment is hiding secret experiments in buyers new homes.
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13th March 2013 at 10:30 am
Administrator says:
Who needs a job to buy a house?
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13th March 2013 at 10:49 am
jon says:
Hidden due to low comment rating. Click here to see.
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13th March 2013 at 10:56 am
Administrator says:
Jon arrives on the scene with one of the dumbest ass comments in TBP history. Any moron with two brain cells (this excludes Jon) can understand this chart and make the connections needed to understand the data.
Mortgage purchase applications have always tracked home sales perfectly in the past. But suddenly in the last three years we see mortgage applications decline while home sales have begun to rise. Any critical thinking person would ask why. Not jon. He makes up some bullshit scenario to prove his assanine point. We know why. It is totally driven by the Wall Street backed “investors”, creating a fake recovery.
Your drivel about more applications being approved today is another false storyline. Even your beloved NAR has blamed too tough credit requirements for losing home sales. There are less applications approved on a percentage basis than during the boom.
Please provide data to contradict that fact. We will hear the sound of crickets as jon has nothing to back up his bullshit except his 75 level IQ.
Your comments are pathetic. But thanks for commenting. It gives me a retard to kick around on a daily basis.
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13th March 2013 at 11:12 am
Administrator says:
jon’s storyline OBLITERATED by the one and only LARRY “the shill” Yun.
Sep 17 2012, 10:22AM
Lawrence Yun, Chief Economist for the National Association of Realtors® (NAR) said Monday that there would be enormous benefits to the nation’s economy if mortgage lending standards would return to normal. “Sensible lending standards would permit 500,000 to 700,000 additional home sales in the coming year,” he said. “The economic activity created through these additional home sales would add 250,000 to 350,000 jobs in related trades and services almost immediately, and without a cost impact.”
Yun’s remarks accompanied release of NAR’s monthly nationwide survey of Realtors, this month combined with an analysis from Yun’s office of historic credit scores and loan performance.
The survey of Realtors Yun said, shows widespread concern over continuing tight conditions, delays in mortgage approvals, and excessive requirements for documentation. Some respondents said it appeared that lenders were focusing only on loans to individuals with the highest credit scores.
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13th March 2013 at 11:28 am
card802 says:
QE3
Without it, there would be no “housing recovery.”
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13th March 2013 at 11:43 am
Hollow man says:
QE 3 keeps us pre bottom bouncing. The real bottom is yet to arrive.
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13th March 2013 at 12:21 pm
jon says:
Hidden due to low comment rating. Click here to see.
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13th March 2013 at 12:48 pm
Administrator says:
Personally I think you’re a clueless shill douchebag. And those are your best traits.
The data backing up your brilliant analysis is breathtaking to behold.
You’ve confirmed everything I thought about realtors.
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13th March 2013 at 12:51 pm
AWD says:
jon, flipping houses to the biggest suckers. We’re in the midst of yet ANOTHER housing bubble. Idiots like jon are always “killing it” on the way up, and go back to living in their parents basement when the bubble collapses, and everyone gets slaughtered. The Fed is inflating yet another housing bubble, this time directly at taxpayer expense, since the government is making most of the loans.
Nobody’s getting jobs, but people are getting on disability, which provide FREE housing.
jon will be getting on disability for depression when the current housing bubble collapses.
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13th March 2013 at 12:56 pm
jon says:
Administrator, calling me a clueless shill douchebag is the final straw. I’m coming to your home to beat you up.
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13th March 2013 at 1:00 pm
TeresaE says:
I can explain.
“Investors,” which happen to be divisions, subsidiaries and connected to the banksters, are getting free government loans to buy and rehab homes into rentals.
There ya’ go, that’s why mortgage applications are dropping, yet housing is in a “recovery.”
Just move the goalposts and then its fixed.
As for Jon, well Jon, how many realtors have left your field in the past three years?
Funny thing is as the pool of realtors decreases, those left SHOULD experience a bump up in their business.
It is a great thing that in your area (WDC? NY? Some other hotspot?), it still shows on your personal sales.
This is the same exact way that the worthless PMI continued to show “growth” in manufacturing as we lost over 1/3rd (or more) of our industry.
So Jon without knowing the entirety of the pool of realtors in your area, your good results don’t mean much to glean a trend, or reality.
Enjoy your good fortune Jon, I’m sure you won’t listen, but I’d be converting a bunch of that fiat into real assets that the government can’t tax or confiscate away.
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13th March 2013 at 1:08 pm
AWD says:
No money? No problem, get a house anyway! Subprime lending has returned with a vengence, and this time it’s the government running the game. What could possibly go wrong?
No Money? No Worries. Home Lenders Ease Rules
By Diana Olick | CNBC – 2 hours 52 minutes ago
As housing heads into the critical spring market, credit is finally beginning to thaw. Lenders are increasingly approving low down payment loans, and government sponsored mortgage giant Fannie Mae is buying more of them.
“In general lenders have been willing to do more than they may have been willing to do in the past,” said John Forlines, chief credit officer for Fannie Mae’s single family business. “Our requirements have not changed significantly, but other parties taking risk, the lenders and mortgage insurance companies in particular, have been more flexible than they may have been in the past.”
Fannie Mae will buy loans with as little as 3 percent down payment, but these loans require private mortgage insurance. During the worst of the housing crash, when the private insurers were sinking under billions of dollars in claims on defaulted loans, that insurance was tough to get.
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13th March 2013 at 1:18 pm
Stucky says:
Admin, AWD, TeresaE
Just a guess … but I think “jon” is a dopple.
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13th March 2013 at 1:21 pm
Administrator says:
Stuck
You son of a bitch. You got me real good. You are still the master doppleganger. I’ll get you back.
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13th March 2013 at 1:23 pm
Stucky says:
Heh heh
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13th March 2013 at 1:25 pm
TeresaE says:
Stuck, I figured.
But, always hoping some lurker agrees with the dopple and then reads the responses.
Doubt it would open their minds, but makes me feel like I’m doing something constructive.
you are so bad, probably why I like you so
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13th March 2013 at 1:31 pm
Judy says:
Admin, they really know how to get you going! Cracks me up!
Refer to the first line of the article….you are just dumb. Just kidding
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13th March 2013 at 1:39 pm
AWD says:
Stuck, the former mortgage broker, kicks admin in the nuts. Hilarious.
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13th March 2013 at 1:45 pm
Cynical30 says:
@ Jon:
Negative Ghostrider. It’s because the funds are snapping up REO, resi notes and even private listings. The bubble is back in full force with institutional money subbing in for NINJA loans and pushing pricing back up to more unrealistic levels. Funds are looking to either manage as rentals or sell off in securitized CDOs (sound familiar?). Why not? With all of the free Fed money snapping up shitty securitized mortgage assets from the banks books you have someone out there who is willing to scoop these up sans the risk. With a little luck maybe they’ll find some more dumb money to buy some chunks of this shit again. Either that or we’ll have a fresh collapse and the treasury will be forced to bail out the newly deemed TBTF hedge funds. OUR ECONOMY IS A FUCKING RACKET.
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13th March 2013 at 2:27 pm
Administrator says:
Judy
Wait till you see the picture of you I put in the powerpoint presentation.
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13th March 2013 at 2:29 pm
BUCKHED says:
Stucks kick to the nuts has Admin. voice so high he could try out for the Vienna Boys Chior !!!!!!!!!
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13th March 2013 at 4:07 pm
BUCKHED says:
Choir!!!!!!!
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13th March 2013 at 4:08 pm
Zarathustra says:
As a kid, Stucky induced other catholic kids to eat a hotdog on friday.
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13th March 2013 at 4:24 pm
Bruce says:
Realtors. Unnecessary, Expensive. Perfect occupation for people who rather push paper and run their moths rather than produce or do real work. Don’t let them cut into your deals and save thousands.
Why is it that female realtors, female news anchors and female porn stars all look the same?
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13th March 2013 at 5:50 pm
Bob says:
I wonder if there is any way to trace the QE and POMO money coming from the Fed, and see what percentage of REcsales & stock market gains it accounts for…
BTW, looks like the bond market is showing signs of regurgitating!
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13th March 2013 at 8:18 pm
Novista says:
jon
I reckon you’re really a front for Blackrock.
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13th March 2013 at 9:25 pm