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Rocket Mortgage is flexing its tech muscle with the launch of a platform that uses machine learning to pull important information from borrower documents during the underwriting process.According to Rocket, the new technology dubbed Rocket Logic will be used to scan and identify files uploaded by the borrower to "ensure clients are providing the correct documentation." Afterwards, the system's computer models extract pertinent information and process the documents instantly.The platform is designed to make "homeownership simpler and quicker" and has thus far decreased closing times by 25% from August 2022 to February 2024, the lender claims. The product currently identifies close to 70% of the 1.5 million documents received monthly, which they say has led to savings of more than 5,000 hours of manual work for underwriters in the month of February. Third-party vendors such as ArmorDoc, Ocrolus, Prudent AI offer similar products to the financial services space. However, few mortgage lenders, if any, have this technology in-house. "By leveraging data and advanced AI, we are streamlining the loan origination process from application to closing, helping our clients home with speed and certainty," said Josh Zook, chief technology officer for Rocket Mortgage, in a written statement Tuesday. "We are constantly enhancing this system with new AI capabilities to make our mortgage bankers and partners significantly more efficient while also getting our clients to the closing table faster."Rocket will be building out its Rocket Logic platform throughout 2024 and has promised significant additional AI integrations to come. Further developments to its product will automate tasks for mortgage bankers, underwriters and partner brokers, it said.The mortgage lender has been beefing up its use of AI as it pushes to be a technology-first company.In November, Rocket announced it was testing an AI chat interface in the search engine used by its loan officers, brokers and underwriters to find answers to questions that arise during the loan origination process.Two months later, in January, Rocket Mortgage's TPO channel launched an AI tool that will help mortgage brokers update approval letters on the go."AI is something that you have to have a right to win and a right to win means you have to have the assets," said CEO Varun Krishna during the company's fourth quarter earnings call. "Because of those ingredients that we have at scale, it's why we expect to be a benefactor."

Mortgage credit provided loosened for the third consecutive month in March, helped by an increase in cash-out refinance programs. However, it still remains below historic norms, the Mortgage Bankers Association said.The Mortgage Credit Availability Index rose 1.1% to 93.9 in March from 92.9 in February. The last time the MCAI was over the 100-point benchmark established in March 2012 was in March 2023, when it was at 100.5.Conventional credit offered increased 2.1% on a month-to-month basis, with jumbo product availability up by 2.6% — the only MCAI component that rose compared with last year — and conforming 1.2% higher."There were increased offerings of cash-out refinance loan programs across fixed rate and adjustable rate mortgage loans, as well as for all occupancy types," Joel Kan, the MBA's deputy chief economist, said in a press release. "Although credit supply increased for the third consecutive month, it remains low at nearly 7% below a year ago and still close to 2012 lows."The growth in the jumbo portion was due to additional non-qualified mortgage and superjumbo product offerings, he added.Government product availability was practically the same month-to-month, down by 0.1%.The MCAI is formulated using data from ICE Mortgage Technology.Cash-out refi rate locks increased by 10.7% in March compared with February but were 18.9% down from one year prior, according to Optimal Blue's Originations Market Monitor. Purchase locks increased 17.2% and rate and term refi activity was up 19% from the prior month. Overall rate lock activity was up 16.7% from February but down by 20.9% versus March 2023.This loosening comes at a time when consumers are seemingly adjusting to interest rates remaining higher than they have in the recent past, Fannie Mae said.Its Home Purchase Sentiment Index for March declined for the first time since November, by 0.9 points to 71.9, as the share of respondents who think rates will increase over the next 12 months now is greater than the share of those who believe they will drop.A year ago, the HPSI was at 63.1.In the March survey, 29% of consumers said rates would decrease through this time next year, versus 35% in February. Conversely, 34% expect them to rise, up from 32% in February.The share of respondents that expect no change increased to 36% from 32% one month ago.Both the "good time to buy" (up 2 percentage points to 21%) and "good time to sell" (1 percentage point higher at 66%) metrics increased during the month, noted Doug Duncan, Fannie Mae's chief economist."However, consumers took a slightly more pessimistic view on the likely direction of mortgage rates, likely reflecting the fact that actual mortgage rates have moved upward since the start of the year," Duncan said in a press release. "With the historically low rates of the pandemic era now firmly behind us, some households appear to be moving past the hurdle of last year's sharp jump in rates, an adjustment that we think could help further thaw the housing market."Fannie Mae's March economic forecast expects an increase in property listings and sales this year. "We believe this will be driven not only by those coming off the sidelines due to a rate-related recalibration, but also by households who may need to move for other life reasons," Duncan said.Consumers are coming to the realization that mortgage rates are not going back to 3%, Melissa Cohn, regional vice president of William Raveis Mortgage, said."The 6% rate environment is one that was considered to be a healthy rate environment in the 60s, and for many other times over the course of the past 50 years," Cohn said in a statement about current mortgage market conditions. "We're just going to have to recalibrate what we consider a market-competitive rate. It's creating a new norm."

United Wholesale Mortgage on Tuesday clapped back at allegations made by Hunterbrook Media, again connecting the damaging report to industry rival Rocket, but this time singling out one of the authors of the piece as having worked for a brokerage that sourced loans from Rocket.In a message sent to its broker partners, the wholesale lender wrote one of the Hunterbrook Media journalists "worked at a Rocket Mortgage affiliated broker for the last five years and was actively working on this report while employed there." Though UWM did not disclose which of the four contributors to the piece that it was referring to, it claimed the broker left their brokerage two months prior to the investigation being published.The wholesale lender also repeated the disclosure made by Hunterbrook, which stated that the publisher not only shorted UWM stock, but also bought Rocket stock."Recently our business, the wholesale channel and our integrity was attacked," UWM wrote in its statement. "Under no circumstances will we stand silent and let anyone lob unfounded accusations against our community."The venture-backed outlet defended its work Tuesday, but confirmed that Matt Termine, one of the authors of the investigative piece, was indeed an independent mortgage broker who previously worked for a brokerage firm."Termine didn't work for Rocket," a press person for Hunterbrook wrote. "He worked for an independent mortgage broker that actually shopped between options. But it sounds like, in UWM's telling, all brokers are just fronts for lender partners.""Hunterbrook Media's article is based on facts," the spokesperson added in a written statement. "The data revealed that UWM had lied about the independence of its mortgage brokers — and the evidence led to a national class action lawsuit accusing UWM of engaging in a RICO conspiracy to commit "mail fraud" and "wire fraud."When asked for comment on UWM's Tuesday missive to brokers, Rocket Mortgage once more stated that it did not have any affiliation with Hunterbrook Media and that Rocket Mortgage and its owner, Dan Gilbert, "have no involvement in the deep, detailed 50-page Hunterbrook Media article." UWM in its address to brokers also defended its business practices."The Hunterbrook attack contains many lies, including there being something wrong with brokers choosing to send most of their business to a specific lender," the wholesale lender said. "If any of our partners get roped into their frivolous lawsuit, UWM will cover your attorneys' fees in connection with these fraudulent claims." "Winners win. Losers talk about winners. UWM and our partners are winners…There is one thing this "report" got correct – UWM is No. 1, and it is entirely because of all of you," the wholesale lender added. Hunterbrooks investigation alleges over 8,000 independent mortgage brokers sent 99% or more of their loans to UWM in the past year, which could be interpreted as a violation by the brokers of their fiduciary duty to home buyers. The megalender is being accused of violating the Real Estate Settlement Procedures Act (RESPA) and the RICO Act in a Michigan lawsuit lodged after the investigation. 

Borrowers are suing Mr. Cooper over a $25 charge for payoff quote statements, which they call a "junk fee" and a violation of federal and state consumer protection laws. A proposed class of plaintiffs includes borrowers who were 30 days or more delinquent on loan payments when Mr. Cooper acquired their servicing rights. The lawsuit, which sues the firm by its former name, Nationstar, references other recent legal and regulatory actions involving the servicer over other fees it charged consumers."While these sums may appear small in the individual situation, in the aggregate they amount to a substantial profit center for Nationstar, paid for by consumers who do not assume they are dealing with a scoundrel," wrote attorneys on behalf of three borrowers who filed the complaint.Mr. Cooper last week elevated the suit to a Washington federal court after plaintiffs filed it in a state courthouse in February. Borrowers say the fees, which are disclosed on Mr. Cooper's website, violate the Fair Debt Collection Practices Act.The total amount of fees charged, and overall damages sought, were unspecified. Attorneys for both parties didn't respond to requests for comment, while a spokesperson for Mr. Cooper cited a company policy in declining to comment on pending litigation. The servicer is currently facing several class action lawsuits over a data breach it suffered last fall. It also received preliminary approval from a federal judge last November for a $3.6 million settlement in another class action complaint over alleged "exorbitant pay-to-pay fees." Regarding the latest fees in question, borrowers allege Mr. Cooper processes payoff fee statements in seconds, and the cost to the company to produce such a statement is "a matter of pennies." The servicer's website says "a preparation fee of up to $25 may apply" to each quote it generates. "Other honest mortgage servicers are also harmed by Nationstar seeking and realizing a competitive advantage of imposing and collecting junk fees not expressly authorized by contract or law," the lawsuit said. In addition to allegedly violating borrowers' mortgage contracts, Mr. Cooper has also not sought authorization for the fees from the Department of Housing and Urban Development's National Servicing Center.Two of the lead plaintiffs were in default at the time Mr. Cooper acquired their servicing rights and paid payoff fees. Another Maryland homeowner said the company assessed a fee because the prior servicer, Community Loan Servicing, incorrectly identified the borrower as in default. The complaint references the Consumer Financial Protection Bureau's recent focus on junk fees in mortgage lending, although its March blog asked consumers to submit payments related to the closing process. Mr. Cooper has a May 9 deadline to respond to the Washington lawsuit.

The Federal Housing Finance Agency named Tracy Stephan chief artificial intelligence officer to oversee AI developments in line with federal directives to that end, making the FHFA one of the first government organizations to do so.The appointment follows a late March Office of Management and Bureau memo calling on agencies to name CAIOs within 60 days and a Biden administration executive order from October aimed at "advancing a coordinated, federal government-wide approach" to policy in this area."Establishing a chief AI officer underscores FHFA's commitment to understanding new developments in technology and the marketplace and incorporating those insights into our day-to-day work," said Director Sandra Thompson. Tracy StephanLinkedin At FHFA, Stephan also will remain in her role as supervisor in the Office of Financial Technology, which has recently undergone some changes in staffing. Previous to joining the agency, she was a vice president of technology, head of innovation and innovation and product management at Fannie Mae, one of the government-sponsored enterprises FHFA oversees.The agency also recently promoted Anne Marie Pippin, who previously held a position involving financial technology, governance and strategic initiatives within the division of conservatorship oversight and readiness, to deputy director of the DCOR.Leah Price, a former vice president who worked with the lending ecosystem at Figure between April 2022 and August 2023, became a financial technology and innovation specialist at FHFA.Jason Cave, the DCOR's previous deputy director, recently left the agency and became a strategic advisor for regulatory and external relations at R&T Deposit Solutions. R&T provides technology-related services around liquidity management, deposit funding and securities-based lending.

The 2024 rollout of the National Mortgage News Top Producers list begins by featuring the loan officers ranked 201 to 300.Even with a drop in overall annual volume in 2023 to the lowest level in recent memory, the originators in our Top Producers rankings found ways to keep their personal activity robust.They did so as interest rates rose and stayed high throughout the year, reducing refinance activity. Purchase volume was affected by the inventory shortage, as well as higher home prices keeping buyers out of the market.This year marks the 26th anniversary of the Top Producers program, the successor to the listings which first appeared in Broker magazine, as well as Mortgage Originator Magazine, which Arizent owns the content rights to. The rankings are open to mortgage originators who work at depository, nonbank and mortgage brokerage firms in the United States.Information submitted about 2023 loan production was used to compile this year's Top Producer Rankings. Loan officers who submitted data for the survey represent the entire spectrum of the origination business, from banks and credit unions to mortgage bankers and mortgage brokerages, and their titles range from loan officer all the way to company president.Submissions were made by the participants or their representatives. The information was verified to the best of our ability but we don't claim the veracity of the data. Some entries might have been removed at our discretion for submission errors.The 2024 Top Producer rankings countdown will continue until the top 50 loan officers are revealed on April 12.  Rank Name Company Dollar volume Number of loans 300 Corina Fiedler Bay Equity $16,154,190 41 299 John Tatum SWBC Mortgage $16,171,498 51 298 Danny Palmer Loanpeople $16,266,775 49 297 Gabriela Villafranco American Pacific Mortgage $16,290,565 59 296 Rory Butler Bay Equity Home Loans $16,545,160 42 295 Kimberly Stone Bay Equity Home Loans $16,842,446 42 294 Toby Tollack Bay Equity Home Loans $16,927,145 34 293 Kolleen Organek Direct Mortgage Loans $16,967,368 54 292 Quintin Jacobson Bay Equity Home Loans $16,978,851 64 291 Scott Roiger Bay Equity Home Loans $17,164,558 57 290 Jessica Eddy UMortgage $17,231,577 79 289 Laura Ponce Nova Home Loans $17,367,868 75 288 Jeremy Radcliffe SWBC Mortgage $17,381,350 46 287 John Schindel Bay Equity Home Loans $17,395,596 41 286 Christopher Graham Bay Equity Home Loans $17,434,334 74 285 Cristian Beltran Loandepot $17,530,633 N/A 284 Lynn Marion Chenaur-Bridges Bay Equity Home Loans $17,596,250 21 283 Ami Desai Direct Mortgage Loans $17,743,169 58 282 Joseph Salem Direct Mortgage Loans $18,173,099 50 281 Mike Harms Bay Equity Home Loans $18,217,598 48 280 Jamie Hughes Bay Equity Home Loans $18,246,974 45 279 Gilbert Almaraz Direct Mortgage Loans $18,255,323 59 278 Shawn Morrow Bay Equity Home Loans $18,471,683 60 277 Tripp Johnson Bay Equity Home Loans $18,728,260 52 276 Alex Knaus American Pacific Mortgage $18,840,038 53 275 Alec Conrad Umortgage $19,045,782 51 274 Kimberly Bryant Bay Equity Home Loans $19,171,909 40 273 Mike Turk Certainty Home Lending/Guaranteed Rate $19,524,325 48 272 Angelina Oleary Bay Equity Home Loans $19,601,376 49 271 Blakely Peterson Certainty Home Lending/Guaranteed Rate $19,626,484 56 270 Todd Simon Bank of England Mortgage $19,654,607 73 269 Tammy Armour Loanpeople $19,692,302 43 268 Katie Gaumer Q Home Loans/American Pacific Mortgage $19,721,068 58 267 Jennifer Van Valzah Bank of England Mortgage $19,910,169 54 266 Jeneane Stomm Bay Equity Home Loans $19,935,579 55 265 Anders Comer Certainty Home Lending/Guaranteed Rate $20,053,179 45 264 Anne Cato TowneBank Mortgage $20,136,814 92 263 Jannie Gong EON Mortgage Group $20,177,545 60 262 Heidi Fitzgerald-Bailey Highlands Residential Mortgage $20,274,225 75 261 Dean Hayes Bay Equity Home Loans $20,341,986 49 260 Taylor Madsen Castle & Cooke Mortgage $20,485,847 72 259 Dennis Vo CMG Home Loans $20,493,709 N/A 258 Kristine Amorello Radius Financial Group $20,512,537 55 257 Corey Glowacki Direct Mortgage Loans $20,844,571 61 256 Ray Ferguson Bay Equity Home Loans $20,885,040 42 255 Gino Giandurco Bay Equity Home Loans $21,187,715 58 254 Terry Gruner George Mason Mortgage $21,225,336 84 253 Chris Rocco Bay Equity Home Loans $21,676,739 33 252 Wendy Mariani Absolute Mortgage/American Pacific Mortgage $21,740,610 40 251 Nick Fratini CMG Home Loans $21,749,792 59 250 Andrew Dort Pride Lending $21,763,157 56 249 Tariq D. Bailey MortgageDepot $21,781,423 40 248 Brian Bloete NJ Lenders $21,993,894 59 247 Salvador Rodriguez Bay Equity Home Loans $22,000,000 89 246 Stanton Greene Bay Equity Home Loans $22,022,828 44 245 Heidi Schmidt Bay Equity Home Loans $22,080,674 50 244 Tyler Evans Bay Equity Home Loans $22,182,446 60 243 Nash Paradise UMortgage LLC $22,197,501 61 242 Rhonda Faulk Certainty Home Lending/Guaranteed Rate $22,456,306 70 241 Mike Alberico UMortgage Carolinas $22,533,906 64 240 Nick Pakulla Goerge Mason Mortgage $23,033,185 50 239 Kristin Bailey Loanpeople $23,041,046 55 238 Heather McQuatters Coffey Ent Credit Union $23,096,084 49 237 Bryce Magill Castle & Cooke Mortgage $23,260,495 112 236 Eric Witmer Bay Equity Home Loans $23,278,457 60 235 Autumn McLean Bay Equity Home Loans $23,415,076 75 234 Scott Saypol NJ Lenders $23,430,495 53 233 Zachary Mitkoff Bay Equity Home Loans $23,500,226 59 232 Shelly Hood Bay Equity Home Loans $23,833,542 60 231 Derrick Strauss Planet Home Lending $23,900,000 57 230 Jonathan Conrad Bay Equity Home Loans $23,961,992 67 229 Ethan Daubert CrossCountry Mortgage $24,126,579 37 228 Marcia Murphy Bay Equity Home Loans $24,139,947 41 227 Alejandro Juarez Loanpeople $24,237,204 63 226 Tom McMurray Karbon Financial $24,483,317 40 225 Michael Novotny George Mason Mortgage $24,527,886 59 224 Abbey Laudenbach Homeowners Financial Group $24,667,692 104 223 Peter Conto George Mason Mortgage $24,852,471 53 222 Katie Porter Bay Equity Home Loans $24,871,997 64 221 Brian Nevins Bay Equity Home Loans $24,932,197 91 220 Matthew Garnes Nova Home Loans $24,976,159 78 219 Erik Johansson Bay Equity Home Loans $25,000,000 75 218 Lissa Solinsky Bay Equity Home Loans $25,066,099 54 217 Wesley Friedman FBC Mortgage $25,282,851 65 216 Graham Parham Highlands Residential Mortgage $25,436,661 168 215 Misty Spears Loanpeople $25,675,028 69 214 Michael Izzi CMG Home Loans $25,730,652 77 213 Darren Soodak BancStar Mortgage $25,792,854 67 212 Nathan Burch Vellum Mortgage $25,912,339 54 211 Kasey Martin Fitzgerald Financial $25,970,367 46 210 Sue Botelho Waterstone Mortgage $26,028,721 78 209 Jarad Brown Certainty Home Lending/Guaranteed Rate $26,044,758 90 208 Neal Tipton Waterstone Mortgage  $26,529,033 85 207 Tyler Carlston UMortgage $26,722,941 80 206 David Goldhirsh LeaderOne Financial $26,790,963 56 205 Layla Kelley Bay Equity Home Loans $26,869,225 99 204 Nora Smith Bay Equity Home Loans $26,911,011 54 203 Jessie Van Wagoner Castle & Cooke Mortgage $27,006,545 73 202 Kimberly Peterson KPT Mortgage Advisors $27,130,579 88 201 David Brown WSFS Mortgage $27,436,126 95

The Federal Housing Administration has extended temporary, partial exemptions from requirements about having meetings with certain borrowers until after voters go to the polls in November. The interim rules were first put in place due to CDC rules about social distancing in early 2020.The extension of the waivers previously scheduled to expire May 31 of this year until next January raises questions about when and if a proposed successor policy more permanently updating "face-to-face" meeting directives will move forward.While not guaranteed, it's still possible that the arm of the Department of Housing and Urban Development that insures certain home loans will be able to move forward on the proposal around meetings with distressed mortgage borrowers before Election Day.The waivers will be extended through Jan. 1, 2025, unless a final rule amending existing policies and a related mortgagee letter on handbook update "become effective sooner," the administration said in an information bulletin released last week.If the proposed policy goes through, mortgage servicers would continue to have some of the flexibility they've had since the pandemic in scheduling meetings with seriously-delinquent borrowers who take out FHA insured loans.Anticipating that the use of flexible communication methods would broaden mortgage companies ability to reach borrowers who are further away, the proposal does also remove at least one previous exemption.Borrowers who aren't living in the property or who don't have mortgaged land within 200 miles of their lender/servicer or branch office previously were exempt. They would no longer be under the new proposal that allows more electronic communication.The FHA has extended the waivers four times since the original implementation period.They were originally set to start March 13, 2020 and end a year later, then the deadline was moved out another 12 months to Dec. 31, 2022. Next, the FHA moved the expiration date to Dec, 31, 2023, before prolonging it the two subsequent times previously mentioned.Outside of certain exemptions like the 200-mile rule, pre-pandemic servicers had to meet face-to-face with borrowers or make a reasonable effort to do so when obligors missed three payments.

United Wholesale Mortgage's CEO Mat Ishbia pointed the finger at Rocket Mortgage and its owner Dan Gilbert when asked to share his take on an explosive investigation that alleges the wholesale lender defrauded borrowers by billions of dollars."That's Rocket Mortgage and Dan Gilbert doing Rocket Mortgage and Dan Gilbert things and that's what it's been funded by," said Ishbia, while attending the opening of his Player 15 Group campus. "I'm focused on Phoenix today and all the great things and people that know us and know what we're all about."Ishbia did not expand on the allegation and UWM did not immediately respond to a request for comment Monday.Rocket has denied the accusations that it has ties with Hunterbrook Media, a venture capital-backed outlet, whose investigation resulted in a tidal wave of reactions from mortgage industry players. "Rocket Mortgage and Dan Gilbert have no involvement in the deep, detailed 50-page Hunterbrook Media article exposing the business practices of Mat Ishbia and United Wholesale Mortgage," Aaron Emerson, spokesperson for Rocket, wrote in an email Monday. "Dan Gilbert and Rocket Mortgage have no investment, other financial interests or relationship to Hunterbrook Media.""The professional investigation speaks for itself and appears to be based on factual, public information uncovered by the journalists who conducted the investigation," Emerson added.Hunterbrook did not immediately address whether Rocket Mortgage was in any way financially invested in the organization. Its investigation alleges over 8,000 independent mortgage brokers sent 99% or more of their loans to UWM in the past year, which could be interpreted as a violation by the brokers of their fiduciary duty to home buyers. The mega lender is accused of violating the Real Estate Settlement Procedures Act (RESPA) and the RICO Act in a Michigan lawsuit lodged after the investigation. "UWM has systematically and intentionally corrupted the wholesale mortgage channel through fraudulent practices to line its own pockets and those of its senior executives, including Mr. Ishbia, at the expense of everyday Americans," said John Zach, an attorney with Boies Schiller Flexner LLP, which filed the complaint. Hunterbrook said it shared its research with the law firm ahead of publication. While accusations around UWM continue to unfold, stakeholders in the mortgage industry have expressed concern over how this will impact their image in the eyes of the consumer."Anytime you have such a high profile story, there's going to be scrutiny from regulators and that is not always a bad thing, but it also shakes the confidence of the consumer in our channel," said Andrew Dort, owner of Pride Lending in a previous interview. "Well educated loan officers on the broker side are superior in terms of what they can offer to a client than on the other channel, but shaky faith in that could ultimately lead to consumers actually paying higher prices by sticking with say more traditional correspondent lenders."

The split-decision by a three-judge panel on April 5 allowing the Justice Department to reopen its investigation into the National Association of Realtors could disrupt the group's settlement agreements on commission payments.The initial agreement in question with the DOJ was between NAR and the Trump Administration in November 2020, which called for greater transparency over fees. But the Biden Administration never finalized the settlement and instead withdrew, instead seeking to reopen the case that was brought under the Sherman Antitrust Act.This Justice Department 2-to-1 win in the U.S. Circuit Court of Appeals for the District of Columbia, overriding a provision that kept it from further investigating NAR, could now spill over into what is known as the Sitzer/Burnett settlements.Since the latter agreements were announced, various workarounds regarding the payment of buyer-broker compensation have been posited that keep current practices in place, said Ryan Tomasello, an analyst with Keefe, Bruyette & Woods in his April 7 note on the court ruling."While there has been some debate around whether the DOJ has already signed off on the NAR settlement behind the scenes, we do not believe that the agency has given its approval, and that NAR was taking a chance in settling under the hope that the DOJ would not be permitted to intervene," Tomasello said. Tomasello expects the Justice Department to intervene in the Sitzer/Burnett agreement. It would be looking to eliminate any loopholes or workarounds such as commission offers made off of the multiple listing services in order to make "more impactful changes" to this practice of the seller paying the buyer's broker commission."Should the DOJ look to remove the off-MLS compensation workaround now that it is unconstrained, we believe this would result in the broader settlement changes being much more disruptive for the industry, including downward pressure on buyer agent commissions," he continued.On the other hand, the Sitzer/Burnett settlement agreement was a prudent action for NAR to take in light of the D.C. court's ruling, said Marty Green, a principal with the law firm of Polunsky Beitel Green."While the Department of Justice is not bound by the terms of the private action settlement that NAR recently reached, the fact that the NAR has agreed to alter many of the business practices that may have been of concern to the DOJ should increase the possibility of a speedy resolution of any governmental enforcement action," Green said. "NAR would probably prefer to have the DOJ bless the settlement in any event, so perhaps this development increases that possibility."The Sitzer/Burnett agreements also have mortgage lenders looking at possible impacts on their customers, especially for the Veterans Affairs and Federal Housing Administration programs."There are certain no-money-down loans home buyers can get that don't allow the buyer to spend any money out of pocket," said Steven Andrews, a real estate investor and founder of Soarx Consulting, in an email. "So what's going to happen is, sellers are going to say that if buyers need them to pay for their agent's commissions, then the price of the home has to go up to cover that cost."The average commission on a real estate transaction at this time is 5.49%, a recent study of 630 partner agents associated with Clever Real Estate found. The report also analyzed other data sources. That is split between the listing agent at 2.83%, and the buyer's representative at 2.66%.But there are variations in compensation, state-level data shows.The lowest average commission is in Hawaii, at 4.78%, followed by Delaware at 4.88%.West Virginia had the highest commissions at 6.67%, followed by Mississippi at 6.07%. The only other states where commissions averaged 6% were Alaska, Kentucky and Wyoming."Realtors charge higher or lower rates based on local norms and market conditions," the Clever report pointed out.A section of the online report did mention the Sitzer/Burnett agreement."This settlement aims to keep cooperative compensation flexible for buyers and sellers," wrote the authors of the Clever report Bailey Peterson & Steve Nicastro. "While the full impact of the settlement is yet to be determined, experts believe that the change will eventually lead to lower buyer's agent commissions and give buyers the ability to negotiate those commissions based on the services they need."

There's one hope left for bond traders burned by this year's selloff: a sign that the Federal Reserve is gaining the upper hand in its fight against inflation. The surprisingly strong U.S. economy has driven Treasury yields to the highest since late November as investors dial back bets on interest-rate cuts, wagering that policymakers will be wary of easing policy prematurely. The market took another leg downward on Friday after data showed that U.S. payrolls unexpectedly expanded in March by the most in nearly a year. That's left investors seeing Wednesday's consumer-price index report as the next key event that will determine whether yields stabilize — or push toward new highs. Many see the 10-year rate at 4.5% as the next major threshold, just above the roughly 4.4% level where it ended Friday."A lot depends on the CPI number — it could keep yields in the 4% to 4.5% range or set us up for a bigger rise," said Kevin Flanagan, head of fixed income strategy at WisdomTree. "The main risk for the bond market is a scenario of continued solid jobs reports and the inflation improvement stalls."The Treasury market has struggled to find a bottom this year as the economy has defied gloomy forecasts, scuttling once widespread conviction that the Fed by now would already be cutting interest rates to spur growth. While the resilience has helped drive stocks higher, bonds have delivered another round of losses as yields push through levels where they were previously expected to stabilize. Fed Chair Jerome Powell has said that the central bank won't ease policy until it has more confidence that inflation is moving sustainably toward its 2% target. But the Fed has also continued to pencil in three quarter-put cuts this year and Powell has emphasized that policymakers are ready to swoop in — if needed — to prevent an unexpected deterioration of the job market. The prospect that the economy will continue to grow at a solid pace has driven the pressure on longer-dated bonds by fanning concerns about the inflation outlook. Stephen Bartolini, a fixed-income portfolio manager at T. Rowe Price Group, in March said he was standing ready to pounce if the 10-year should rose over 4.4%. But he's since reconsidered and said his portfolios are leaning toward bets that yields could rise even more.   "A month ago, two months ago, it would've been a case that 4.5% looks good, and now I want to be a little patient because the economy is stronger," he said. "The data has certainly most recently been better than expected and we've certainly seen that in the last week. The inflation side has been stickier than most expected."Economists forecast that the CPI data on Wednesday will show some easing of inflation pressures. On a monthly basis, both the overall and core reading — which excludes food and energy costs — are projected to have risen by 0.3% in March, down from 0.4% in February, according to economists surveyed by Bloomberg. Yet that would still leave the core gauge up around 3.7% from a year earlier, well above the Fed's comfort zone, particularly given the recent jump in oil prices.If the figures come in at or below those levels, it may stabilize yields or even pull them back from recent levels. On the other hand, a higher-than-expected reading could drive another round of selling, though some money managers said institutional investors may shift back in if the 10-year rate pushes above 4.5%."They will step in aggressively next week if we get there," said Ed Al-Hussainy, rates strategist at Columbia Threadneedle Investment. Priya Misra, portfolio manager at JPMorgan Asset Management, said she thinks it's already time to start shifting toward 10-year notes. She noted that wage gains have been subdued despite the strong labor market, indicating that the demand for workers isn't fueling upward pressure on inflation. "My strongest conviction right now is to start legging into 10 years," she said.