The home finance sector is benefiting from a mild cooling in inflation, pushing 30-year mortgage rates down to 6.55%. Equity traders are rotating into REITs and housing finance firms, expecting a 4% earnings beat in the next quarter. Market sentiment leans bullish on mid-cap mortgage servicers. Instead of putting their money toward paying high fees, Jeff and Susan could put that money to work by investing in a low-cost ETF or index fund and get a similar return — but without having to cough up nearly as much money in fees, says Sethi. In an effort to help curb the lack of supply, nine states have recently enacted zoning reforms aimed at facilitating the use of manufactured homes in areas where they were previously prohibited. This effort to try to put manufactured homes on a more equal playing field with site-built homes can help families that wouldn’t otherwise be able to afford housing. Home finance stocks rose sharply after a drop in 10-year Treasury yields to 3.94%. Lower yields improve mortgage-backed asset pricing, encouraging portfolio rebalancing among institutional investors.
