The Nadlan Group Real Estate Podcast

Mortgage Rates Tick Lower as Market Awaits Key Economic Reports

Mortgage rates dipped slightly on Tuesday, offering a small but welcome pullback after beginning the week with a sharper jump higher. While the improvement wasn’t big enough to signal a shift in trend, it helped calm the market heading into what is expected to be one of the most volatile stretches of the week.
 
Rates have been stuck in a tight sideways range for several weeks, and Tuesday’s movement simply brought them a bit closer to the middle of that band. But the quiet won’t last long. Starting Wednesday morning, markets will receive a series of high-impact economic reports that could meaningfully influence bond yields—and mortgage rates along with them.
 
The first major release is the ADP Employment Report, which offers an early look at hiring trends across the private sector. Because labor data strongly affects interest rate expectations, any surprises—positive or negative—could move rates quickly. Shortly after, markets will digest the ISM Services Index, a key measure of economic activity in the services sector, which accounts for most U.S. economic output. This report is especially important because it provides insight into inflation, pricing pressures, and business confidence.
 
Investors are watching closely because the Federal Reserve’s next policy decisions—especially the possibility of a December rate cut—may hinge on how these economic indicators trend. With rates already sensitive and markets waiting for clearer direction, volatility is expected to rise through the second half of the week.
 
For borrowers, Tuesday’s dip is a mild improvement, but the real story begins mid-week. Job data, service-sector activity, and additional releases through Friday could determine whether rates stay in their current range or finally break in a new direction. Anyone considering locking a rate should follow the upcoming data closely, as even small surprises can shift mortgage pricing quickly.For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/mortgage-rates-tick-lower-as-market-braces-for-economic-data/
#MortgageRates #HousingMarketUpdate #FedWatch #InterestRates #EconomicNews

Bayview Asset Management Completes $1 3B Acquisition of Guild Holdings

Bayview Asset Management has officially completed its $1.3 billion acquisition of Guild Holdings, marking a major consolidation move in the mortgage industry. The deal was executed through Bayview’s MSR Opportunity Master Fund and immediately resulted in Guild’s removal from the New York Stock Exchange, returning the company to private ownership.
 
Guild will now operate as an independent business under Bayview’s MSR Fund, joining forces with Lakeview Loan Servicing—one of the largest mortgage servicers in the country. Together, they form a powerful platform that blends retail origination, large-scale servicing, and long-term customer relationships.
 
Guild CEO Terry Schmidt says the acquisition unlocks new opportunities for national expansion. She emphasized that combining Guild’s relationship-driven retail lending with Bayview’s capital strength and servicing footprint creates one of the strongest end-to-end ecosystems in the mortgage market.
 
Guild Mortgage, founded in 1960, has built its reputation on local loan officers, in-house processing, and a “customer for life” model designed to retain borrowers across multiple transactions. These strengths were key reasons Bayview targeted the company—especially as Guild brings a substantial servicing portfolio and a nationwide presence across 49 states and D.C.
 
For Bayview, which manages over $36 billion in assets, the acquisition fits squarely into its strategy of building a vertically integrated mortgage and credit platform. Bayview already invests heavily in mortgage servicing rights, whole loans, and mortgage-backed securities. Adding Guild gives Bayview a retail origination arm capable of feeding Lakeview’s massive servicing machine.
 
Going private allows Guild to focus on long-term strategy, free from the pressure of quarterly earnings cycles. Industry analysts believe this partnership could improve customer retention, expand national market share, and create a more competitive platform against other fully integrated mortgage companies.
 
With the mortgage industry facing tight margins and increasing consolidation, the Bayview–Guild deal may signal more M&A activity as lenders seek scale, capital stability, and operational efficiency.
 
For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/bayview-asset-management-completes-1-3-billion-acquisition-of-guild-holdings/
#MortgageIndustry #RealEstateNews #BayviewAssetManagement #GuildMortgage #HousingMarketUpdate

Apartment Rents Fall Again as Vacancies Hit Highest Level on Record

Apartment rents continued to fall in November as a wave of new supply met cooling demand, pushing the U.S. rental market into its softest position in years. According to the latest Apartment List report, national median rent dropped another 1% in November—the fourth straight monthly decline—bringing rents down to $1,367. That puts rents 1.1% lower than a year ago and more than 5% below their 2022 peak.
 
At the same time, the national multifamily vacancy rate held at 7.2%, matching October’s reading and setting a record high for the index. Earlier this year, many analysts expected rent growth to turn positive again. Instead, momentum stalled over the summer and reversed sharply.
 
One of the biggest drivers is supply. Even though apartment construction has slowed from pandemic highs, thousands of new units are still coming online. And they’re arriving just as renter demand weakens—especially among young adults. Today, roughly one-third of Americans aged 18 to 34 live with family, the highest share in years. Higher rents, softer job prospects for recent grads, and slowing wage growth are all delaying household formation.
 
Some markets are seeing much steeper rent declines than the national average. Las Vegas is cooling as tourism slows. Boston is facing layoffs in biotech and fewer international students. And Austin leads the country in rent declines due to the sheer volume of new apartments hitting the market.
 
But while some cities are softening, renters are increasingly looking toward the Midwest, where affordability is much stronger. Yardi reports that cities like Cincinnati, Atlanta, and Kansas City are emerging as top rental destinations heading into 2026. In fact, 11 of the top 30 renter demand markets are now in the Midwest—more than at any point in recent years.
 
Looking ahead, Apartment List expects the rental market to gradually stabilize once construction slows more meaningfully in 2026. However, a large under-construction pipeline and a weakening labor market could keep vacancies elevated in the near term.
 
For renters, this means more choices, more concessions, and better prices. For landlords, it signals a tougher, more competitive environment as we head into the new year.For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/apartment-rents-fall-again-as-vacancies-hit-highest-level-on-record/
#RentalMarket #HousingTrends #RealEstateUpdate #RentPrices #ApartmentList

Mortgage Rates Jump Back Up, Wiping Out Last Week’s Small Improvements

Mortgage rates kicked off December by erasing the small improvements seen over Thanksgiving week, snapping right back into the same narrow range that’s dominated the past month. While rates briefly dipped to around 6.20% during the holiday slowdown, that improvement didn’t last. Once full trading activity returned on Monday, the bond market recalibrated and pushed mortgage rates back up to 6.31%—exactly where they were before the holiday break.
 
This quick reversal highlights an important reality: holiday-week rate movements almost never stick. With fewer traders active and lower overall market volume, even small trades can push rates in artificial directions. And once normal trading resumes, rates usually fall back into their prior trend—which is exactly what happened this year.
 
For nearly four weeks, mortgage rates have been trapped in a tight, stubborn range in the low-to-mid 6% zone. While this stability has helped reduce day-to-day volatility, it has also kept buyers waiting for any meaningful improvement. Today’s rate movement confirms that nothing has changed in the broader rate environment.
 
But that calm won’t last long. This week brings several key economic reports with real potential to influence the direction of mortgage rates. Upcoming data includes updated labor market figures, fresh inflation indicators, and multiple government reports that were delayed during the recent shutdown. These releases carry far more weight than last week’s holiday noise—and they could push rates meaningfully up or down depending on the results.
 
Borrowers should keep an eye on three things: job market data, inflation readings, and any statements from Federal Reserve officials as the December meeting approaches. Softer economic data or cooling inflation could bring rates lower, while stronger numbers may push them back up.
 
For now, the brief holiday dip is over, and mortgage rates have returned to the familiar 6.3% range—waiting for the next major economic signal to break the pattern.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/mortgage-rates-jump-back-up-wiping-out-last-weeks-small-improvements/
#MortgageRates #HousingMarketUpdate #EconomicTrends #BondMarket #HomebuyingTips

Young Adults Are Losing Faith in Homeownership as Affordability Breaks Down

New research shows a dramatic shift in how young adults view homeownership—and the findings reveal one of the sharpest generational divides in decades. A study from Northwestern University and the University of Chicago shows that adults born in the 1990s are on track to have a homeownership rate almost 10 percentage points lower than their parents by retirement age. For many, the dream of owning a home has moved from difficult… to impossible.
 
The researchers found that this belief isn’t just changing attitudes—it’s changing behavior. Young adults who think buying a home is out of reach are working less, saving less, and spending more on short-term enjoyment. They’re also taking on riskier investments like crypto and high-volatility stocks. Meanwhile, young adults who still believe homeownership is possible tend to work harder, save more, and make more cautious financial decisions. Over time, these differences create massive gaps in long-term wealth.
 
As Financial Times reporter John Burn-Murdoch explains, Gen Z isn’t lazy or unmotivated—they’re responding rationally to an economy where traditional milestones feel unattainable. Past generations worked hard because hard work led to something: stability, equity, and eventually a home. But with high prices and high mortgage rates, many young adults feel that no amount of effort will get them there.
 
This has led to what some economists call “financial nihilism.” If homeownership is out of reach, the logic goes, why grind harder at work? Why sacrifice today for a reward that may never come?
 
This shift matters far beyond individual households. If millions never buy homes, long-term wealth inequality will grow. Employers may struggle with lower motivation and job commitment. Spending patterns will shift toward short-term pleasure and speculative investing. And America could see the rise of the first generation of lifelong renters in a century.
 
The study suggests that financial education is more important than ever—especially for those who may never buy a home. Young adults will need new strategies for building wealth, managing risk, and securing long-term financial stability.
 
As Burn-Murdoch puts it: “Young people are simply playing the hand they were dealt. Their choices aren’t a rejection of responsibility—they’re a response to a changing economic reality.”
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/young-adults-are-giving-up-on-homeownership-as-affordability-crisis-deepens/
#GenZFinance #HousingCrisis #HomeownershipGap #FinancialNihilism #EconomicTrends

New Home Price & Construction Trends Reshape Buyer Decisions and Existing Home Sales in 2025

Fresh data from Realtor.com shows that 2025 has been a tough year for the housing market, especially for new construction. A cooler labor market, higher material costs from tariffs, and ongoing worker shortages have slowed builder activity. But even with these challenges, new homes are still offering an unexpected affordability advantage that’s shaping buyer behavior.
 
After peaking in 2022, new-home prices have leveled off. In Q3 2025, the median new-construction price rose just 0.2% year-over-year to $451,337 — still below the 2022 peak. Meanwhile, existing-home prices continue to climb, reaching $409,667, up 1.6% from last year. Because new homes are typically larger, new builds have actually become cheaper per square foot than existing homes in many markets.
 
But the national averages hide major regional differences. In the Midwest and Northeast, new homes remain much pricier because so few are available. In the South and West, where most new construction happens, competition among builders keeps costs far more manageable.
 
Inventory trends tell a similar story. New construction helped rebuild supply after the pandemic shortage, but its share of total listings dropped to 16.7% in Q3 as more existing-home sellers returned to the market.
 
One of the biggest shifts this year is the shrinking new-home premium — now just 10.2% nationally, the lowest on record for a third quarter. In the South and West, that premium is even smaller, and in some markets, new builds are effectively cheaper than older homes once incentives are factored in.
 
And those incentives matter. Builders are offering aggressive financing perks — rate buydowns, closing cost help, and below-market mortgage rates. That’s created a major rate gap: new-home buyers averaged a 5.27% mortgage rate in Q3, compared with 6.26% for existing-home buyers. It’s one of the widest spreads since 2006.
 
Affordability pressures have also changed down-payment patterns. New-home buyers used to put more cash down, but now their average down payment is lower than existing-home buyers — 15.7% compared with 17.8%.
 
As 2026 approaches, new construction continues to play a crucial role in overall market stability. Builders are helping ease affordability issues, especially in the South and West, but the market remains deeply divided by region. These differences will continue shaping buyer decisions, pricing, and inventory trends into the next year.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/new-home-prices-fall-as-construction-trends-shift-buyer-demand-in-2025/
#HousingMarket2025 #NewConstructioTrends #RealEstateUpdate #HomePrices #MarketInsights

Zillow Quietly Removes Climate Risk Scores as Accuracy Concerns Grow

Zillow has quietly removed climate-risk scores from more than a million property listings, ending a feature it rolled out just last year. The decision comes after months of complaints from real estate groups — especially in California — who argued the ratings were hurting home sales and couldn’t be challenged or corrected by homeowners.
 
These climate scores, provided by the First Street Foundation, showed a home’s exposure to flooding, wildfire, extreme heat, wind, and air quality issues. They appeared directly on Zillow’s listing pages, right next to price, photos, and neighborhood information.
 
But one of the loudest critics, the California Regional MLS — one of the largest MLS systems in the country — questioned the accuracy of First Street’s flood-risk models. CRMLS leaders said assigning a property a specific flood probability, like a one- or five-year flood chance, could unfairly damage a home’s value. And in a state that regularly deals with atmospheric river storms, flooding, mudslides, and wildfire burn scars, climate-related labels can have major financial impact.
 
Zillow responded by removing the scores from listings entirely. Instead of showing them automatically, Zillow now links out to First Street’s website, where buyers can look up the risks on their own. It’s a middle-ground approach that avoids disputes with agents while keeping the information accessible for anyone who wants it.
 
The bigger challenge is that climate-risk modeling is still evolving. Predicting floods, fires, and extreme weather in a rapidly warming climate is complex — and disagreements between public and private models can influence home prices, insurance costs, and overall demand in certain regions.
 
Interestingly, Zillow’s competitors — including Redfin, Realtor.com, and Homes.com — are still showing climate-risk data directly on their listings, which could become a competitive advantage as more buyers factor climate exposure into their decisions.
 
Zillow’s move highlights a new tension in real estate: how to balance transparency for buyers with fairness for homeowners — especially as climate change continues reshaping where people want to live.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/zillow-removes-climate-data-from-listings-after-pushback-from-real-estate-industry/
#ZillowUpdate #RealEstateNews #ClimateRisk #HousingMarket #PropertyTrends

Rents and Rising Mobility How Affordability Is Shaping Renter Decisions in 2025

The rental market continued cooling in October, giving renters more relief and signaling a steady reset from the sharp price spikes seen during and after the pandemic. Realtor.com’s latest report shows the national median rent fell 1.7% year-over-year to $1,696, marking the 27th straight month of annual declines and the third consecutive monthly drop. While rents remain $245 higher than in 2019, the trend points to a market slowly normalizing.
 
What’s changing even more than prices is where renters are searching. As affordability varies widely across regions, more renters are looking beyond their home metro. Realtor.com found that 20 of the 50 largest U.S. metros now attract more out-of-market renters than before the pandemic, driven by rising costs, lifestyle flexibility, and the continued influence of remote and hybrid work.
 
Some of the biggest shifts toward out-of-town interest over the past six years happened in Detroit, Philadelphia, Sacramento, San Francisco, and Charlotte. These metros, even if not cheap overall, offer relative affordability compared to nearby high-cost cities. For example, New Yorkers now make up more than 25% of rental searches in Philadelphia, while San Jose renters increasingly look toward San Francisco.
 
But not all markets are seeing this outward pull. Cities like New York, Chicago, Los Angeles, Dallas, and Miami continue to hold strong local loyalty, with the majority of renter searches coming from residents who already live there. High home prices and rent protections in these metros make staying put more appealing than relocating.
 
Meanwhile, metros drawing the most out-of-market interest—Raleigh, Hartford, Richmond, Providence, and Nashville—are gaining momentum thanks to stronger affordability, growing job opportunities, and lifestyle appeal. These cities have become magnets for young professionals and remote workers seeking better value.
 
Across all unit types, rents declined again in October: studios dropped 2.1%, one-bedrooms 1.9%, and two-bedrooms 1.7% year-over-year. Even though prices have eased, two-bedroom rents remain nearly 19% higher than before the pandemic.
 
Ultimately, affordability remains the defining force in today’s rental market. As prices cool nationally but stay elevated in many regions, more renters are broadening their search, prioritizing financial balance, more space, and greater flexibility in how — and where — they live. 
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/independent-mortgage-banks-showing-renewed-profitability-in-q3-2025/
#MortgageIndustry #HousingMarket2025 #IMBProfitability #MortgageNews #LendingTrends

Independent Mortgage Banks Return to Profitability as Production Revenue Strengthens

After several years of choppy results and shrinking margins, independent mortgage banks and bank-owned mortgage subsidiaries finally delivered a more stable and profitable performance in the third quarter of 2025. According to the Mortgage Bankers Association, IMBs earned an average pre-tax production profit of $1,201 per loan, up from $950 in the second quarter. What makes this improvement notable is that it came even as production costs continued rising—meaning stronger revenues were the real driver behind the rebound.
 
MBA Vice President of Industry Analysis Marina Walsh described Q3 as one of the healthiest quarters the mortgage industry has seen since the pandemic era. When combining both production and servicing income, about 85% of more than 325 companies in the MBA’s study posted positive net financial profits. It’s one of the strongest profitability readings since rate volatility started squeezing margins in 2022 and 2023.
 
Production volume for the average lender held essentially flat at $634 million, and loan counts nudged slightly higher. But revenue improvement stood out: total production revenue increased to 359 basis points, and revenue per loan rose to $12,310. At the same time, production expenses climbed to 326 basis points, with per-loan costs rising to $11,109—far above the long-term average of $7,799. This continues to underscore how much operational costs remain elevated across the industry.
 
The purchase market remained dominant, with IMBs generating 82% of their first-mortgage originations from purchase loans, far above the industry-wide 67% share. Average loan sizes dipped slightly, suggesting buyers are continuing to shift toward more affordable homes.
 
On the servicing side, the numbers were stable and supportive. Servicing income remained steady—$29 per loan in financial income and $92 per loan in operating income—helping many lenders offset tight production margins. Companies with sizable MSR portfolios once again benefited from this steady income stream.
 
Importantly, the share of lenders reporting overall profitability climbed to 85%, up from 80% in Q2. This marks a clear trend of recovery, even though profit margins have not yet returned to the long-term historical average of 40 basis points.
 
The bottom line: the mortgage industry is not back to pre-pandemic strength, but it is undeniably moving in the right direction. Revenues are firming, loan locks are rising, servicing income remains stable, and profitability is returning. The next challenge is controlling historically high production costs—something that will push lenders toward efficiency gains and technology adoption as they move into 2026.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/independent-mortgage-banks-showing-renewed-profitability-in-q3-2025/
#MortgageIndustry #HousingMarket2025 #IMBProfitability #MortgageNews #LendingTrends

2026 Conforming Loan Limits Rise to $832,750 as FHFA Announces New Increase

The Federal Housing Finance Agency has officially increased the conforming loan limit for 2026, and the new number is higher than most in the industry were expecting. Starting January 1st, the maximum loan size Fannie Mae and Freddie Mac will back rises to $832,750, a $26,250 jump from this year’s limit. This 3.26% increase reflects the steady climb in home prices over the past year and will influence mortgage borrowing power in nearly every U.S. county.
 
What’s notable is that many major lenders—like UWM, Rate, and CrossCountry Mortgage—had already raised their internal limits early to $819,000. But FHFA’s official limit overshot those estimates by more than $22,000, giving borrowers even more room to qualify for conforming financing at a time when affordability remains a challenge.
 
FHFA calculates this limit each year based on the year-over-year change in its national House Price Index, comparing October to October. Because home prices rose 3.26%, all conforming limits rise by the same percentage, except for the small group of counties—just 32—that didn’t experience similar growth.
 
High-cost areas get an even bigger boost. In places like California, New York, New Jersey, Hawaii, and the D.C. metro, the new 2026 limit reaches $1,249,125 for a single-unit home. And in special territories like Alaska, Hawaii, Guam, and the U.S. Virgin Islands, the ceiling stretches as high as $1,873,675, accommodating markets where prices sit far above national averages.
 
FHFA hasn’t yet released the updated limits for two- to four-unit properties, but those increases typically track the same percentage jump. These numbers are especially important for buyers using house hacking strategies, small investors, and those seeking conforming underwriting on multi-unit properties.
 
For buyers, the higher limits mean more homes qualify for conforming loans instead of jumbo financing—unlocking lower mortgage rates, easier qualification, and smaller down-payment options. For lenders, the expanded ceiling widens the pool of eligible borrowers and shifts more demand toward conventional loan products.
 
Overall, the increased conforming loan limit signals a housing market that has cooled from its pandemic frenzy but is still seeing moderate price growth. And as we head into 2026, these higher thresholds will open the door for more borrowers to stay within conforming territory—giving them more flexibility, better pricing, and a smoother path to homeownership.
 
🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇
https://nadlancapitalgroup.com
 
Continue reading on our site: 
https://www.forumnadlanusa.com/2025/12/2026-conforming-loan-limit-rises-to-832750-exceeding-industry-predictions/
#HousingMarket2026 #ConformingLoanLimit #MortgageNews #RealEstateUpdate #Homebuyers2026