FHFA announces 2025 conforming loan limits; rejection rate for refis hits survey high; home sales projected to increase; split in home price trends based on location; signs of stabilization for property insurance.

The GSE loan limit for high-cost areas will increase to as much as $1,209,750 for one-unit properties in 2025.

At the end of the year, nonbanks will be required to meet new risk-based capital requirements at Ginnie Mae. There’s some speculation that the Trump administration could reverse the rule.

Combined, non-agency jumbos and conforming jumbos accounted for 16.1% of total originations during the third quarter. Nonbanks are increasing their lending as some banks pull back. (Includes three data tables.)

Some MSR buyers are offering exceptionally strong bids for servicing, counting on being able to recapture borrowers when interest rates drop. The high bids are creating some complications for sellers and MSR valuations.

Prepayment rates during the recent dip in mortgage rates were higher than expected, suggesting lenders have extra staff on hand. Still, it could be a while before interest rates fall low enough to significantly boost lending.

The baseline conforming loan limit for a one-unit property will be $806,500 for 2025.

FHA is making adjustments based on lessons learned from temporary policies established during the pandemic.

The new plans from FHFA focus on efforts for rural markets, manufactured housing and first-time homebuyers.

Tom Rettinger, chief portfolio risk officer at CrossCountry Mortgage, noted that prepayment models were built for a more balanced interest rate environment.