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Thursday, September 11, 2014


Mortgage Applications Plunge to 14-Year Low

Mortgage interest rose for the first time in four weeks, creeping up to 4.27 percent last week from 4.25 percent, and even the slight uptick proved a setback for home borrowers. The Mortgage Bankers Association reported that total loan application activity declined 7.2 percent, sinking the group's index to its lowest point in almost 14 years. Refinancing volume fell 11 percent week-to-week on a seasonally adjusted basis, landing at a bottom not seen since November 2008. Requests for purchase loans, meanwhile, were down 3 percent from the previous week to the lowest level since February of this year.

From "Mortgage Applications Plunge to 14-Year Low"
CNBC.com (09/10/14) Olick, Diana






Small Lenders Seek to Thrive in Tough Era

Despite the difficult environment for small banks, characterized by tightening regulations and historically low interest rates, Pat McCune, president and CEO of the $546 million-asset Community Bank in Carmichaels, Pa., wants them to succeed. "Local independent banks provide a valuable service to our community," he says. "They can make decisions and direct the resources of the bank in a way that best helps the local community." Even when Community Bank's merger with Monessen-based First Federal Savings Bank is completed in October, boosting its assets to almost $870 million, McCune says the bank will remain small and focused on the needs of local residents. McCune says Community Bank is concerned about the competition posed by regional banks, as they benefit from their larger size but remain small enough to target Community Bank's customers. However, he expects prudent, measured growth for his bank down the road. "We're not empire builders," he says. "We're trying to gather together the resources to do the most effective job we can at servicing our customer."

From "Small Lenders Seek to Thrive in Tough Era"
Pittsburgh Tribune-Review (09/10/14) Fleisher, Chris

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