Mortgage originators are hungry for business, because of a slowdown of refinancing activity.
Kenny Hodges with Assurance Financial Group, said the refinance market collapsed in June, after the Federal Reserve announced it planned to halt its bond purchasing program, which is expected to lead to higher interest rate.
“The rates shot up 100 basis points in three days,” said Hodges, a speaker at the Trends in Real Estate Seminar Thursday. “That ended the refinance party.”
Hodges said the mortgage volume is expected to drop 30 percent nationally, because of the pullback in refinancing. This has led some lenders who specialized in refinancing to enter the market for home purchases.
Nationally, home purchase originations are expected to increase by 9 percent in 2014. “Our market should be a little bit stronger,” Hodges said.
About 700 people are attending the Trends seminar at the BREC Independence Park Theater , which features local experts talking about current and forecast trends in various sectors of the real estate market, including single-family residential, multi-family, office, retail and industrial.