Mortgage rates have risen from sub-6% to 6.62% amid escalating Iran conflict, while purchase applications declined 5%. However, MBA reports February median mortgage payments decreased 6.5% year-over-year, indicating some affordability improvement.

Impact · Rising rates directly affect buyer purchasing power and market activity, though the year-over-year payment reduction suggests some underlying affordability improvements that could help offset rate increases.

Action · Update buyer pre-qualification analyses and adjust price point discussions with clients to reflect new rate environment and payment scenarios.

GSEs revised condo project and insurance requirements, easing some cost burdens while tightening reserve and review requirements. Changes include new flexibility in replacement cost and deductible requirements but end authority for limited reviews.

Impact · Changes will affect condo financing availability and could impact market liquidity for certain projects while potentially improving long-term stability of approved developments.

Action · Review updated GSE guidelines and identify which local condo projects may need additional documentation or face approval challenges under new rules.

Fannie Mae preparing to accept crypto-backed mortgages, while Better.com and Coinbase launch token-backed conforming mortgage product allowing Bitcoin or USDC as down payment collateral.

Impact · Opens new financing options for crypto-holding buyers and potentially expands the qualified buyer pool while maintaining conforming loan standards.

Action · Develop familiarity with crypto-backed mortgage options and identify lending partners equipped to handle these new products.