May 26, 2020
BLACK KNIGHT’S FIRST LOOK AT APRIL 2020 MORTGAGE DATA
April home sales take the biggest hit in almost a decade
Limited supply boosted median home price 7.4% from a year ago, NAR says
Existing home sales plunged 17.8% from March, the biggest drop since July 2010, as deals fell through in the midst of the worst public health crisis in more than a century.
Sales fell to a seasonally adjusted 4.33 million annual pace, the slowest rate in a year and almost a million short of the previous month, the National Association of Realtors said in a report on Tuesday. The median price rose 7.4% to $286,800 after gaining in all areas of the country, according to NAR Chief Economist Lawrence Yun.
Sales were down 17.2% compared to this time a year ago, he said.
The economic lockdown temporarily disrupted home sales beginning mid-March through April, Yun said. But the listings that are currently on the market are still attracting buyers and boosting home prices, he said.
“Record-low mortgage rates are likely to remain in place for the rest of the year, and will be the key factor driving housing demand as state economies steadily reopen,” Yun said.
The coronavirus pandemic put more than 39 million Americans on the unemployment rolls in the past nine weeks. The death toll has risen to more than 93,000, according to data from Johns Hopkins University.
Fannie Mae, Freddie Mac will allow borrowers who took forbearance to refinance their mortgage
GSEs also extended their timeframe for buying loans that went into first-payment forbearance
Here, from Fannie Mae, are more details on how borrowers who either requested and/or accepted forbearance may be eligible for a refi or new mortgage:
Under the temporary eligibility guidelines, effective immediately, homeowners who missed payments and entered into a loss mitigation solution – such as a repayment plan, payment deferral, or loan modification – are eligible for a new refinance or purchase mortgage after three timely payments.
There is no waiting period for borrowers who missed payments due to a COVID-19 financial hardship but have since completed reinstatement by repaying the full amount of the outstanding payments missed during the forbearance period.
There also is no waiting period for borrowers who requested forbearance due to a COVID-19 financial hardship but ultimately were able to make all their payments in full and on time.