Welcome!

News Feed Item

iEmergent Announces 2014-2018 U.S. Mortgage Lending Forecasts

iEmergent, a Des Moines, Iowa-based market research and forecasting firm for the banking, mortgage and real estate industries, issued its most recent 2014 - 2018 U.S. Total Mortgage Volume Forecast today. The firm projects that refinance levels will drop considerably in 2014, challenging mortgage bankers and lenders to establish strong purchase lending strategies to mitigate the loss of refinance potential. Homeownership conditions in 2014 will facilitate a gain in purchase lending across most markets, but slow recovery fundamentals will remain the reality of future days. Highlights include:

       

-- 2014 Total Purchase Volume:

2.67 million loans for $612.3 billion

-- 2014 Refinance Volume Range:

1.75 million loans for $394.5 billion (low)

2.12 million loans for $477 billion (high)

-- 2014 Expected Total Mortgage Volume:

4.42 million loans for $1,006.8 billion (low)

4.78 million loans for $1,089.9 billion (high)

 

The projected 2014 purchase dollar volume of $612 Billion represents a 4.72% increase from estimated purchase dollar volume for 2013, although the change in purchase loan units is expected to be only 1.68%. However, the drastic projected decrease of more than 52% in refinance activity from the end-of-year estimate for 2013 will result in total mortgage reduction of an estimated 30.3% in mortgage units and 28.4% in mortgage dollar volume.

The total size of the available household pool for home purchase financing is similar to levels experienced in the mid- to late-1990s, prior to the dot-com bubble. More than 40% of all U.S. households are not part of the available pool because they are not qualified, able, willing or ready to purchase and finance a home.

“Home buying demand continues to be ‘penned-up,’ simply because household balance sheets of everyone but the top 15% are challenged by lagging employment, stagnant-to-falling household incomes, lack of available credit for home financing and poor credit scores, among other problems,” said Dennis Hedlund, President of iEmergent. “Consumer spending, which has always been a primary driver of our economy, has been muted since 2007 and is not yet positioned to be a force for growth. Unfortunately, as it lags, home buying lags along with it.”

Purchase originations have been languishing for more than 5 years, as many lenders stopped focusing on home buyers, due to the greater regulatory, compliance and repurchase risks associated with home lending and its potentially negative impact on future earnings. However, the lack of refinance opportunity projected for 2014 should change that.

“We believe that 2014 will be a solid year for growth in purchase lending across the board. In spite of countervailing upside and downside pressures, purchase lending volumes should benefit when refinance lending no longer ‘crowds-out’ the purchase money,” said Hedlund.

About iEmergent
Founded in 2000, Des Moines, Iowa-based iEmergent provides comprehensive, market-level mortgage lending forecasts, data and market analytics to the mortgage and real estate industries. The company offers multiple mortgage market intelligence products, including Mortgage MarketSmart, a cloud-based solution that helps lenders increase originations, improve efficiency and comply with lending regulations by using interactive maps and tools to apply iEmergent’s accurate, forward-looking and detailed mortgage market intelligence. For a more detailed 2014-2018 Mortgage Market Forecast report, please visit http://www.iemergent.com/resources.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
DevOps and microservices are permeating software engineering teams broadly, whether these teams are in pure software shops but happen to run a business, such Uber and Airbnb, or in companies that rely heavily on software to run more traditional business, such as financial firms or high-end manufacturers. Microservices and DevOps have created software development and therefore business speed and agility benefits, but they have also created problems; specifically, they have created software sec...
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
24Notion is full-service global creative digital marketing, technology and lifestyle agency that combines strategic ideas with customized tactical execution. With a broad understand of the art of traditional marketing, new media, communications and social influence, 24Notion uniquely understands how to connect your brand strategy with the right consumer. 24Notion ranked #12 on Corporate Social Responsibility - Book of List.
SYS-CON Events announced today that Roundee / LinearHub will exhibit at the WebRTC Summit at @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LinearHub provides Roundee Service, a smart platform for enterprise video conferencing with enhanced features such as automatic recording and transcription service. Slack users can integrate Roundee to their team via Slack’s App Directory, and '/roundee' command lets your video conference ...
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
More and more companies are looking to microservices as an architectural pattern for breaking apart applications into more manageable pieces so that agile teams can deliver new features quicker and more effectively. What this pattern has done more than anything to date is spark organizational transformations, setting the foundation for future application development. In practice, however, there are a number of considerations to make that go beyond simply “build, ship, and run,” which changes ho...
"My role is working with customers, helping them go through this digital transformation. I spend a lot of time talking to banks, big industries, manufacturers working through how they are integrating and transforming their IT platforms and moving them forward," explained William Morrish, General Manager Product Sales at Interoute, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
SYS-CON Events announced today the Kubernetes and Google Container Engine Workshop, being held November 3, 2016, in conjunction with @DevOpsSummit at 19th Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA. This workshop led by Sebastian Scheele introduces participants to Kubernetes and Google Container Engine (GKE). Through a combination of instructor-led presentations, demonstrations, and hands-on labs, students learn the key concepts and practices for deploying and maintainin...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
Adobe is changing the world though digital experiences. Adobe helps customers develop and deliver high-impact experiences that differentiate brands, build loyalty, and drive revenue across every screen, including smartphones, computers, tablets and TVs. Adobe content solutions are used daily by millions of companies worldwide-from publishers and broadcasters, to enterprises, marketing agencies and household-name brands. Building on its established design leadership, Adobe enables customers not o...
Kubernetes is a new and revolutionary open-sourced system for managing containers across multiple hosts in a cluster. Ansible is a simple IT automation tool for just about any requirement for reproducible environments. In his session at @DevOpsSummit at 18th Cloud Expo, Patrick Galbraith, a principal engineer at HPE, discussed how to build a fully functional Kubernetes cluster on a number of virtual machines or bare-metal hosts. Also included will be a brief demonstration of running a Galera M...
All clouds are not equal. To succeed in a DevOps context, organizations should plan to develop/deploy apps across a choice of on-premise and public clouds simultaneously depending on the business needs. This is where the concept of the Lean Cloud comes in - resting on the idea that you often need to relocate your app modules over their life cycles for both innovation and operational efficiency in the cloud. In his session at @DevOpsSummit at19th Cloud Expo, Valentin (Val) Bercovici, CTO of So...
What are the new priorities for the connected business? First: businesses need to think differently about the types of connections they will need to make – these span well beyond the traditional app to app into more modern forms of integration including SaaS integrations, mobile integrations, APIs, device integration and Big Data integration. It’s important these are unified together vs. doing them all piecemeal. Second, these types of connections need to be simple to design, adapt and configure...