The Fed's two-day meeting opens today, and Wednesday's 2:00pm ET statement is the week's main event, followed by a 2:30pm press conference. This meeting carries no dot plot. Fed funds sits at 3.88%, up from 3.63% before the September meeting. Two reads on what comes next: The MortgagePoint reports economists expect no move this week but see further increases on the table at later meetings, while First American senior economist Sam Williamson tells MPA that inflation and the jobs picture are pulling the committee in different directions. Either way, the statement's language on future meetings is the part that can move mortgage pricing.
Rates come into the meeting steady. Bankrate's 30-year fixed reads 7.38% this morning, down from 7.47% on October 19 and inside its 30-day band of 7.22% to 7.57%; its 15-year sits at 6.79%. Mortgage News Daily called Monday exceptionally uneventful for bonds, and the 10-year Treasury is trading at 4.98% this morning after closing Monday at 5.00%. Freddie Mac's PMMS read 7.32% last Thursday, 0.08 lower on the week and 0.29 higher than a month ago. Case-Shiller lands today, PMMS and jobless claims print Thursday the 29th, and core PCE is due in a window that runs through Friday the 30th. On a $400K loan, principal and interest at 7.38% runs about $2,764 a month.
Credit scoring keeps shifting under the cost line. FICO says lenders and brokers who enroll in its Preferred Program through participating tri-merge resellers will keep its $10 wholesale per-score price in exchange for a commitment to keep buying its scores, as National Mortgage Professional reports; HousingWire's analyst roundup frames the move as FICO protecting volume as the industry moves to a multiscore framework. MPA reports FHFA Director Pulte is again pressing for more competition in mortgage credit scores. For your files, the operational date to hold onto is January 1, 2027, when FHA begins accepting VantageScore 4.0 and FICO 10T for case numbers assigned on or after that date.
The nearest hard deadline is Monday. The UAD 3.6 and redesigned appraisal form mandate takes effect November 2, and Fannie Mae and Freddie Mac say it is not moving. Sellers that cannot make it must request a one-time policy exception from each GSE; with one, new UAD 2.6 reports can be submitted through May 19, 2027, but from March 1, 2027 those reports get a collateral risk score of 99 in Loan Collateral Advisor and 999 in Collateral Underwriter and lose representation and warranty relief on value. UAD 3.6 becomes mandatory for every initial submission on May 20, 2027. Lenders that do not sell directly to the GSEs follow their investors' plans.
Elsewhere: UWM disclosed with its preliminary third-quarter results that it plans to sell servicing rights on $70 billion to $80 billion of loans this quarter to pay down debt, per National Mortgage Professional, so some past UWM borrowers may receive servicing transfer notices. Auction.com data reported by National Mortgage News shows foreclosed FHA property volumes at their highest mark since 2019. Fannie Mae reports its third-quarter results tomorrow, October 28.
pull every file with an appraisal ordered or delivering on or after November 2 and confirm with your appraisal desk or AMC that the report comes back on UAD 3.6, or that your investor has an approved exception in place.