Three-day jump pushes mortgage rates to six-month high

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1. Three-day jump pushes rates to six-month high

Mortgage rates continued to climb through the end of the week, marking a difficult period for borrowers. Over the three days ending Friday, the daily mortgage rate index rose from 6.09% on Tuesday to 6.41%, reaching its highest level since September 4, 2025.

While the increase was not the most rapid on record, it represents the sharpest three-day rise since early April 2025. The movement reflects broader trends in the bond market, which largely determines mortgage rate direction.

Bonds, along with several other asset classes, have reacted negatively to developments surrounding the Iran war. Although bonds are often viewed as a safe haven during periods of geopolitical uncertainty, conflict that affects inflation expectations can reverse that dynamic, pushing yields higher and, in turn, driving mortgage rates upward.

2. New executive orders target housing supply and mortgage credit

The first order directs HUD and FHFA to cut regulatory barriers to home construction — streamlining permitting, scaling back green energy mandates, and easing restrictions on manufactured housing. HUD has 60 days to develop a set of best practices for state and local governments.

The second order takes aim at mortgage access — directing the CFPB to expand the QM definition, potentially replace TRID timing rules, and create a broader safe harbor for portfolio loans. It also calls for modernizing appraisals through AI and automated valuation models, and tailoring capital requirements for community banks.

Industry reaction was largely positive. MBA CEO Bob Broeksmit welcomed the focus on reducing compliance costs but noted the benefits should apply to lenders of all sizes — not just banks.

3. More Nuggets

🏘️ The neighborhood that’s buying itself back. (theHustle)

📝 Redfin says private listings, coming soons could boost inventory by 12%. (Redfin)

📊 Why adjustable-rate mortgages are surging in a falling-rate market. (Cotality)

🏡 Japanese builders are rapidly acquiring U.S. homebuilders. (CNBC)

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4. Judge blocks subpoenas against Fed Chair Jerome Powell, citing 'essentially zero evidence'

A federal judge on Friday said he was blocking subpoenas that the Justice Department served to Federal Reserve Chair Jerome Powell in a probe purported to be about the management of the central bank's renovation.

"A mountain of evidence suggests that the Government served these subpoenas on the Board to pressure its Chair into voting for lower interest rates or resigning," Judge James Boasberg, the chief judge on the U.S. District Court for Washington, D.C., wrote in a court filing.

Boasberg continued: "On the other side of the scale, the Government has produced essentially zero evidence to suspect Chair Powell of a crime. The Court therefore finds that the subpoenas were issued for an improper purpose and will quash them."

5. Top metros homebuyers are moving to

Long-distance moves ticked up in 2025. Even though home sales were slow, more buyers and renters were able to relocate. In fact, 18.8% of house hunters looked to move to a different part of the country in the fourth quarter, up from 17.9% a year earlier and up from 15.9% about five years earlier.

Much of this migration continues to be driven by affordability. Buyers leaving expensive coastal metros like San Jose, San Francisco, New York, and Los Angeles are increasingly relocating to lower-cost markets across the Sun Belt and Mountain West.

Here are the top metros homebuyers are moving to as of Q4 2025:

☀️ You’re all caught up. See you on Wednesday!

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