“Mortgage market weathers storms” – SFGate
Did we read that headline correctly? Is that quite possibly the first headline in over two years about the housing/mortgage market that doesn’t spell disaster? Or is it the shot of Tequila and can of Tecate (a bit of lime squeezed in and a touch of salt on the rim) talking?
Home loan applications are up, interest rates are down and financing continues to be approved, according to national data and local mortgage brokers.
The interest rate on a 30-year fixed-rate mortgage averaged 6.26 percent last week, down from 6.37 percent the previous week, according to Freddie Mac.
Mainstream media is getting soft! We kind of like it. But then you had to go ruin our party:
None of this is to say that the mortgage market has returned to normal. It is still far more difficult to qualify for a loan than it was before default rates shot up last summer, underwriting guidelines are in a continual state of flux and the housing market remains in a deep slump.
The number of homes sold in the Bay Area during June was the lowest for the month since 1993, down 9.9 percent from a year ago, according to DataQuick Information Systems. Across the nine [Bay Area] counties, the median price paid for all home types plummeted 27.1 percent to $485,000, slipping under the half-million-dollar mark for the first time in four years.
–Mortgage market weathers storms [SFGate]