Editor’s Note: The Mortgage Mix is RISMedia’s highlight reel of need-to-know mortgage-industry happenings. Watch for it every other Friday afternoon.
The numbers: While mortgage rates had hit a peak and were nearing the high-end of the 7% range, they have now decreased for the third straight week to 7.18% for the 30-year fixed-rate mortgage and 6.57% for the 15-year fixed-rate mortgage. Notably, this was the lowest level seen in over a month.
What this means: A stronger jobs report was partially attributed to this week’s improvement, as Realtor.com® Senior Economist Hannah Jones said that “while solid hiring supports housing demand over time, a stronger-than-expected report could also lift bond yields and slow the pace of rate declines in the near term.
The “blue wave” that occurred in the elections this past Tuesday may also contribute to further improvements down the road, as Jones noted that “many newly elected representatives have voiced discontent with the ongoing conflict in the Middle East, which has contributed to rising inflation, so any progress toward resolution could mean lower inflation and softer mortgage rates ahead.”
Using their ARMs? Despite a come down, many buyers are still holding off from the market due to rates remaining over 7%. Mortgage applications this week were down 1.2%.
With the fixed-rate mortgage elevated, more buyers have turned to adjustable rate mortgages (ARMs) instead.
“As we have highlighted in recent weeks, more borrowers are choosing ARMs in this environment to lower their initial payments, with the ARM share at its highest level since September 2025,” said Mike Fratantoni, the Mortgage Bankers Association’s SVP and chief economist.
A Better battle comes to an end: After a tumultuous struggle between the lender and its founder, Better.com has dropped its federal securities lawsuit against Vishal Garg, who was ousted in August. The case was dismissed with prejudice, meaning it cannot be refiled.
The lender had been suing Garg for allegedly violating federal securities laws, arguing that he did not engage in the proper process to solicit shareholders in a bid to regain his position.
That bid ended up being successful, with Garg back in a leadership role.
Compass takes mortgage JV to the big leagues: Expanding its mortgage business to become a top-10 lender, Compass announced a merger between its own OriginPoint mortgage platform and Rate’s Guaranteed Rate Affinity to unite the two mortgage ventures under the OriginPoint brand.
Guaranteed Rate Affinity was founded in partnership with Anywhere Real Estate back in 2017, making the merger an unsurprising move due to Compass’s acquisition of Anywhere last year.
The merger expands OriginPoint’s resources and geographic reach, the companies noted in a release, while backing the business with Rate’s AI technology, products and lending platform.
