Fed chief offers views on GSE reform bill

Congress should overhaul the operations of mortgage repurchasers Fannie Mae and Freddie Mac by focusing their portfolios on affordable housing and making it clear that the government will not bail them out if the companies overextend themselves outside of that arena.

Those were the first public remarks by Federal Reserve Chairman Ben Bernanke on GSE reform as Congress continues to debate legislation in the wake of the accounting and management scandals at Fannie and Freddie.  more...

Refinancings jump

Homeowners rushed to refinance last week as interest rates continued to decline, the Mortgage Bankers Association reported today.

The market composite index, a measure of total home loan application volume, gained 7.3 percent last week, rising to 671.6 on a seasonally adjusted basis from 626.1 one week earlier.

The index that tracks refinancings climbed 15 percent, boosting the refi share of mortgage activity to 46.1 percent from 43.2 percent the previous week. Loan applications to purchase homes were up 1 percent on a seasonally adjusted basis from the end of February.  more...

Overnight real estate rates flat

Long-term mortgage interest rates barely moved Tuesday, and the benchmark 10-year Treasury bond yield edged up to 4.53 percent.

The 30-year fixed-rate average gained to 5.7 percent, and the 15-year fixed rate stayed at 5.43 percent. The 1-year adjustable dipped to 5.33 percent.

The 30-year Treasury bond yield was up at 4.66 percent.

Rates are current as of 7:15 p.m. Eastern Standard Time.  more...