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Today: 30-year fixed hit 6.78%, Fed held rates but three members pushed for a hike (September rate increase likely), and BrightBridge expanded construction lending in Columbia as rental vacancy climbed to 7.6% nationally.
Mortgage rates hit their highest point since August 2025 this week, with the 30-year fixed climbing to 6.78%. The Fed held rates at 3.5-3.75% on Wednesday, but three voting members dissented in favor of a quarter-point hike. That 9-3 vote signals rate increases are coming, likely in September unless inflation cools or the Iran conflict resolves. Fed statement, rate update.
For Richland County, that means the affordability squeeze continues. Applications dropped 6.4% this week as rates crossed the 6.75% threshold. Purchase activity fell 4%, and refinances dropped 10%. MBA data. If you have buyers pre-approved at 6.5%, revisit their numbers now. If you are holding listings priced for a 6.25% environment, the market moved away from you.
National inventory held above 1.1 million properties for the sixth straight week, up 2.7% year-over-year. Homes sold one day faster than last year, the second time in four weeks that metric improved. Median list prices fell 2.3% year-over-year for the 28th consecutive week. Realtor.com weekly data. Columbia inventory trends track national patterns with a lag. Watch your days-on-market closely. If listings are sitting longer than 30 days, price is wrong or staging needs work.
BrightBridge expanded construction and DSCR (Debt Service Coverage Ratio) lending operations in Columbia. The State coverage. DSCR loans let investors qualify based on rental income instead of personal income, useful for out-of-state buyers or W-2 buyers adding rental units. Construction lending expansion means spec builders and fix-and-flip operators have another capital source. If you work with investors, add BrightBridge to your lender list and understand their DSCR minimums (typically 1.2x to 1.25x). If you are sourcing off-market deals or probate properties, this is a financing tool that opens buyer pools.
New home sales remain near eight-year lows despite a June uptick. Mortgage Point coverage. Builder inventory in the Columbia market (Mungo, Essex, Eastwood) competes directly with resale listings. If builders are offering rate buydowns or closing cost credits, resale sellers need to counter with price adjustments or seller-paid points. Do not assume buyers will choose resale over new construction without a clear value gap.
National rental vacancy climbed to 7.6%, up from 7.2% last year. Rents fell for the 35th consecutive month, down 1.5% year-over-year to a median of $1,692. But tenant retention is up sharply: 36.1% of landlords report tenants staying longer, and renewals outpace move-outs 5 to 1. BiggerPockets rental analysis.
Columbia rental dynamics mirror this. USC enrollment drives fall demand, but off-campus units near campus (Olympia, Rosewood, areas near Williams-Brice) face more competition than in prior years. If you manage student housing, retention matters more than turnover. Lock in renewals now for fall 2027 before tenants shop alternatives. If you are pricing a new rental listing, pull comps within the last 30 days, not 90 days. Rent growth stopped. Automatic increases will push tenants to shop.
44 of the 50 largest metros are now renter-friendly or balanced, meaning tenants have negotiating power. Landlords in Columbia should focus on retention tools: fix maintenance requests within 24 hours, set up ACH or AutoPay for rent collection, and respond to tenant communication within business hours. Eviction filings cost more than a $50 rent concession to keep a paying tenant in place.
Fannie Mae IPO discussions continue. The Trump administration is pushing to take Fannie Mae and Freddie Mac public. If that happens, expect tighter underwriting standards, higher guarantee fees, and potentially higher mortgage rates as private shareholders demand returns. BiggerPockets Fannie Mae analysis. This is a 2027 issue, not a this-week issue, but it affects long-term loan availability. Conventional financing could become less accessible for borrowers with <20% down or credit scores under 700.
PennyMac reported Q2 net income down 84% year-over-year and laid off staff in its consumer direct lending and fulfillment operations. HousingWire coverage. Lender consolidation continues. If you work with smaller correspondent lenders or brokers, verify they are still operational before sending pre-approvals to listing agents. A dead lender kills deals.
Mortgage applications are down, but recapture rates for refinances are improving. PennyMac's government refi recapture rate jumped from 44% to 59%, and conventional recapture rose from 17% to 29%. If you originated loans in 2023-2024, your past clients are candidates for refinance outreach when rates drop below 6.25%. Build the list now so you can move when the window opens.
Article sources: - BiggerPockets: Rental Market 2026 - The State: BrightBridge Columbia Expansion - Mortgage News Daily: Rates 7/29 - Realtor.com: Fed July Meeting - RISMedia: Mortgage Applications - Realtor.com: Weekly Housing Trends - HousingWire: PennyMac Q2 - BiggerPockets: Fannie Mae IPO