Source: Business Insider
Banks are scrambling to keep up with surging mortgage demand. Amid falling interest rates, mortgage volumes have been soaring since the second half of 2019. That went into overdrive this week after the Federal Reserve announced a surprise, emergency cut to its benchmark interest rate in the face of the growing global coronavirus outbreak. Following the rate cut, JPMorgan Chase’s call centers and digital channels were flooded with mortgage-related inquiries, leading the bank this week to dial back its marketing spend. In contrast, Bank of America isn’t shifting home-equity staff — because it extensively trained hundreds of them on mortgage underwriting in 2019 to give the bank more flexibility. Experts say rates heightened demand will continue as rates fall further, and that could mean long wait times to close on homes and refinancings. Visit BI Prime for more stories . Mortgage rates were already hitting record lows — and then the Federal Reserve unleashed an emergency cut to its benchmark interest rate.