Social distancing likely to affect physical mortgage closings.

Even as mortgage application volumes climb, the physical ability for those loans to close could be in question as authorities call for social distancing to prevent the spread of Covid-19. While electronic closings are a possible solution, they run into state law impediments such as the permissibility of remote notaries. Government agencies are making policy adjustments for some in-person requirements related to mortgage processing, but not all, and closings do not appear to have been addressed to date.

The Fed cut interest rates to zero, but don’t expect to see 0% mortgages anytime soon

Mortgage rates in the U.S. could hit new record lows as the coronavirus outbreak continues, but there are multiple factors preventing them from falling to zero. The Federal Reserve’s decision to cut interest rates may indirectly push mortgage rates lower — but Americans aren’t likely to see 0% mortgages in the near future. The Fed announced late Sunday that it was cutting its benchmark federal funds rate by 1% to a range of 0% to 0.25%, alongside other measures meant to stimulate the nation’s economy as it takes a major hit from the coronavirus pandemic.

Treasury yields rebound slightly as investors await clarity on fiscal stimulus.

Treasury yields climbed slightly on Tuesday as investors sought more details on fiscal stimulus from the Trump administration to battle the coronavirus fallout. The 10yr UST price is down 26/32 to yield of 0.806% as of 9:17 AM ET, and UMBS 2.5% prices are down 1/32, 3.0% are down 1/32, 3.5% are down 3+/32, 4.0% are down 4/32, and 4.5% are down 6+/32.
What We Do
Three reasons to choose us for all your Ideal hedging

Services

Maximize your Execution The mortgage pipeline is a very dynamic component of a mortgage banking business. Each day, new locked applications are coming in, loans are closing, locked applications are being denied or withdrawn and terms of existing locks are

Philosophy

At Vice Capital Markets, our hedging philosophy and process is both conservative and analytical.  Using your own historical data, we determine the expected fallout levels for each type of mortgage product in your pipeline.  Using this information along with the

Benefits

  Primary Benefits of Hedging Greatly improved execution over best efforts. In typical market environments, a 25 to 55 basis point improvement in execution is realized. In high-volume environments, double the typical improvement is not unusual. Improved flexibility and execution
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About Us
At Vice Capital Markets our goal is to help you

Since 2001, Vice Capital Markets has successfully managed the interest rate risk and maximized the profitability on over $400 billion of mortgage-backed securities trades and mortgage-related transactions.

Our expertise and familiarity with many types of executions and end investors has yielded superior results for our clients.

Through long rallies, swift declines, and multiple interest rate shocks our fallout models and risk management strategies have steadily and successfully weathered market fluctuations of all degrees.

Meet the Team
Some of our Company Officers

Troy D. Baars

President

Christopher M. Bennett

Principal

Shawn D. Ansley

Managing Director

Kimberly M. Campbell

Vice President

Scott Colclough

SVP- Business Development
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