Blog Archives: January 2020 — December 2020

In March, the U.S. economy registered the most monthly job losses in history. In late July, it registered the biggest leap in existing home sales ever and the housing market has yet to slow down. So how has the housing market defied the coronavirus pandemic when so many other U.S. markets have predictably tanked? First off, this recession is not like the last one. In the years leading up to the 2009 housing crash, real estate prices had been inflated by speculators and various complex credit instruments. Here in 2020, housing prices might ...

Mortgage Rates Remain at All-Time Low We live in remarkable times. And while uncertainty remains the order of the day, the average U.S. rate for a 30-year fixed mortgage is 2.75% this week, matching the lowest on record. Why? The three most populous U.S. states, including California, have seen new spikes in COVID-19 infections, driving money managers to seek the safe harbor of fixed-income investments like mortgage bonds. In March, the Fed steadied the bond market by buying fixed assets to boost competition and shrink yields. And it ...