Rate Desk April 3, 2020

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April 3 edition
  • HUD FHA rates at 2.80 for 223F
  • New construction at 3.50 (40 year fixed)
  • 10 year US treasury at 59 bp
  • HUD requiring reporting of impacts of C-19
  • HUD and agency desks open, but remotely
  • CARES Act for 30 days forbearance
  • 30 days plus two 30 day extensions
  • Defaults will impact credit ratings
  • Fannie at 3.50
  • Freddie at 3.40
  • Unemployment at 4.4%
PRO take aways
  • Will liquidity problem turn into a credit problem?
  • How will borrowers and lenders deal with the new normal?