SAN DIEGO, Calif., May 9, 2022 (SEND2PRESS NEWSWIRE) — MCT®, the leading pipeline hedge advisory in the residential mortgage industry, is pleased to announce the introduction of new MCTlive! Mortgage Lock Volume Indices to help all industry participants better understand key trends in the mortgage industry. As the company serving more lenders with hedging and pipeline management solutions than any other single provider, MCT is uniquely positioned to capture data and understand macro trends in the industry. MCT-collected statistics are also unique to the industry given the diversity in lender size across its client base.

MCT: Lock volume for April 2022 broken out by transaction type
IMAGE CAPTION: Lock volume for April 2022 broken out by transaction type.

This data represents a broad and balanced cross section of several hundred lenders of various sizes and business models in the mortgage industry across retail, correspondent, wholesale, and consumer direct channels. Taking this broad based, diverse, and representative view of entire market, it provides a more accurate picture of what is happening in mortgage originations than indices are influenced by mega lenders. MCT will be publishing the MCTlive! Mortgage Lock Volume Indices on a monthly basis, intended to serve as an enduring data tool for industry participants, analysts, and watchers.

MCTlive! Mortgage Lock Volume Indices are based on actual dollar volume of locked loans, not numbers of applications, therefore providing a much more accurate picture of industry lock activity than other surveys or application data. The data is also broken out by transaction type: purchase, rate/term refinance, and cash out refinance. Especially in a tight purchase market, applications are a less reliable metric for the mortgage industry as there is a higher likelihood of having multiple applications per funded loan. Prequals do not convert at as high of a rate in the current market as has historically been the case, especially when applications are counted at the early stage of entering a property address.

Covering the period from April 1 through April 30, 2022, this inaugural MCTlive! Lock Volume Indices shows that total mortgage rate locks by dollar volume decreased 5.0 percent in April, and lock volume is down 25.4 percent from a year ago. Purchase locks are up 2.2 percent over the course of the month and 7.55 percent from one year ago, a bright spot even as mortgage rates have increased rapidly in 2022. That increase in mortgage rates is evident in the refinance figures, as rate/term refinances are down 36.4 percent and cash out refinances are down 31.1 percent month-over-month. From one year ago, cash out refinance volume is down 51.7 percent, while rate/term refinance volume has dropped 89.2 percent.


Category | Month-Over-Month Index Value Change

Total: -5.00%

Purchase: 2.22%

Rate/Term Refinance: -36.35%

Cash Out Refinance: -31.10%

MCT: Year-over-year indexed total lock volume
IMAGE CAPTION: Year-over-year indexed total lock volume.


Category | Year-Over-Year Index Value Change

Total: -25.39%

Purchase: 7.55%

Rate/Term Refinance: -89.23%

Cash Out Refinance: -51.70%

About MCT:

Founded in 2001, Mortgage Capital Trading, Inc. (MCT) has grown from a boutique mortgage pipeline hedging firm into the industry’s leading provider of fully integrated capital markets services and technology. MCT offers an array of best-in-class services and software covering mortgage pipeline hedging, best execution loan sales, outsourced lock desk solutions, MSR portfolio valuations, business intelligence analytics, mark to market services, and an award-winning comprehensive capital markets software platform called MCTlive!

MCT supports independent mortgage bankers, depositories, credit unions, warehouse lenders, and correspondent investors of all sizes. Headquartered in San Diego, California, MCT also has offices in Philadelphia, Santa Rosa, Los Angeles, and Dallas. MCT is well known for its team of capital markets experts and senior traders who continue to provide the boutique-style hands-on engagement clients love. For more information, visit or call (619) 543-5111.




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Image Caption: Lock volume for April 2022 broken out by transaction type

News Source: Mortgage Capital Trading Inc.