{"id":630649,"date":"2026-10-14T19:26:09","date_gmt":"2026-10-14T19:26:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/630649\/"},"modified":"2026-10-14T19:26:09","modified_gmt":"2026-10-14T19:26:09","slug":"fannie-mae-just-dramatically-upped-its-2027-mortgage-rate-expectations","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/630649\/","title":{"rendered":"Fannie Mae just dramatically upped its 2027 mortgage rate expectations"},"content":{"rendered":"<p dir=\"ltr\">Selma Hepp, chief economist at Cotality, has made a similar case. \u201cIt\u2019s really the bond market,\u201d she said, while <a href=\"https:\/\/www.mpamag.com\/us\/mortgage-industry\/market-updates\/could-mortgage-rates-hit-9-one-economist-lays-out-the-scenario\/592184\" rel=\"nofollow noopener\" target=\"_blank\">warning that mortgage rates could hit 9%<\/a>.<\/p>\n<p dir=\"ltr\">&#8220;It&#8217;s possible that mortgage rates go up to 9%, but it&#8217;s really not our base case scenario. It&#8217;s more of a severe scenario in which Treasuries go up to 6% or 7% and that would be really triggered by several major disruptions.&#8221;<\/p>\n<p>&#13;<\/p>\n<p dir=\"ltr\" lang=\"en\">Mike Fratantoni, Joel Kan, and Marina Walsh of the Mortgage Bankers Association expect mortgage originations to fall in 2027, with rates remaining above 7% and refinance opportunities staying limited despite steady purchase activity. https:\/\/t.co\/3WmwWuhSWh<\/p>\n<p>&#13;<br \/>\n\u2014 Mortgage Professional America Magazine (@MPAMagazineUS) <a href=\"https:\/\/x.com\/MPAMagazineUS\/status\/2110069659386904777?ref_src=twsrc%5Etfw\" rel=\"nofollow\">October 13, 2026<\/a><\/p>\n<p>What higher rates mean for broker pipelines<\/p>\n<p dir=\"ltr\">The lending projections show the cost. Fannie Mae now expects single-family originations to fall from about $2.09 trillion in 2026 to $1.87 trillion in 2027, a drop of roughly 11%. Purchase volume holds near $1.43 trillion.<\/p>\n<p dir=\"ltr\">Refinance lending, however, shrinks from $655 billion to $430 billion, which cuts the refinance share of originations from 31% to 23%.<\/p>\n<p dir=\"ltr\">Home price growth also slows: Fannie Mae\u2019s Home Price Index is forecast to rise just 0.6% in 2027, down from 2.7% this year.<\/p>\n","protected":false},"excerpt":{"rendered":"Selma Hepp, chief economist at Cotality, has made a similar case. \u201cIt\u2019s really the bond market,\u201d she said,&hellip;\n","protected":false},"author":2,"featured_media":630650,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[138,219,248152,309178,111,139,69,309177],"class_list":["post-630649","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-fannie-mae","tag-mortgage-rate-forecast","tag-new-zealand","tag-newzealand","tag-nz","tag-us-mortgage-rates"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/630649","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=630649"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/630649\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/630650"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=630649"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=630649"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=630649"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}