Post Election and Obama Mortgage Market Predictions

Ok.. finally it's over. All the ads, misrepresentations and taking everything out of context is over for a while - maybe.

Now we have to look at our businesses and determine where we think we are headed with current administration. This morning the market adjusted a fair amount and to the down side, with Treasury's rallying - resulting fantastic mortgage rates. It's a good day to lock, but where are we headed?

In my opinion, the Obama administration means we will see a longer period of low mortgage rates than we would have had with Romney. You will also see government maintain a greater share of mortgage lending backing. With recent announcements from Freddie Mac on earnings, its clear the government and the GSE's are enjoying making money again.

I think with the Obama admin you will also see a consistent barrage of new government intervention, compliance, audits, rules and regulations being continually beat with. Best case is we will continue to see consolidation in our industry as the purchase market continues its uptick and refinances continue to moderate after big rate drops.

The continued government involved will continue to limit private party money from entering the ring.
This will limit the pace of new mortgage products. Although a few may be able to navigate the government waters for reassurance that dipping their toes into the water won't get them bit off.