Dear Santa: The Commonwealth Group Christmas Wish List for a Brighter 2026
As the holiday lights twinkle and the year winds down, The Commonwealth Group and CondoAnalytics as well as mortgage professionals across the country are hanging up their stockings with some very specific hopes. It's been a rollercoaster year in the lending world. Rates are still hovering stubbornly around 6.2% as of mid-December 2025, down slightly from earlier peaks but still far from the sub-3% dreams of a few years ago. Refinance activity has picked up a bit with recent Fed cuts, but purchase loans remain challenging amid affordability hurdles.
So, what does a mortgage professional, whether a loan officer, processor, underwrite, or QC person, really want under the tree this Christmas? Here's The Commonwealth Group and Condoanalytics (www.condoanalytics.com) wish list for the mortgage and housing markets.
1. Lower Mortgage Rates (The Eternal Top Wish)
Nothing would make the industry jollier than seeing 30-year fixed rates dip meaningfully into the 5s, or even lower, in 2026. Current averages sit at about 6.21% (per Freddie Mac's latest data), with forecasts suggesting a gradual slide to around 6.0-6.3% next year. A bigger drop would unlock the "rate-locked" homeowners sitting on ultra-low pandemic-era mortgages, boosting inventory and purchase volume. Santa, if you're listening: more buyers calling means more closings and happier mortgage folks!
2. Real Regulatory Reform
Not the “at the margins” reform that we have seen, but the real thing. With due respect to the work of Director Pulte (FHFA), Secretary Turner (HUD), and Secretary Bessent (Treasury), that we have seen so far, it is time for reform to the rules and regulations that is the invisible hand that is strangling affordability. Here are a few suggestions:
Repeal Dodd-Frank: I know it is a long shot, but Dodd-Frank regulations are killing innovation in the industry and limiting borrower choices. Dodd-Frank was out of date when it passed; now it is positively archaic. Going to be in a house less than 7 years? Sorry, no 7/23 FNMA two-step for you! Need an interest-only to give flexibility for a borrower with uneven income? Too bad! Only the higher rates from the non-QM segment are options, which again limit affordability. A 30-year fixed is not always the best choice. C’mon Gentlemen, get busy and lead the charge on getting rid of this albatross.
Continuing Education Reform: The CE requirements are absurd. Loan Officers are obliged to sit through CE classes each year covering exciting topics such as whether the head of the state financial department is referred to as the Commissioner, the Chairman, or the Director. Complete drivel. How about some education that will actually help Loan Officers be better at their job and so help consumers?
S.A.F.E. Act and NMLS Reform: The S.A.F.E. Act created 51 regulatory regimes across the county. The industry needs to standardize requirements nationwide. And none of this “but we are unique in our state.” No, you are not. FHA/VA and agency loans are the same everywhere. Reform this red tape nightmare.
3. A Surge in Housing Inventory
We've all been nice this year, promising homebuyers that "more homes are coming." But with many sellers reluctant to trade their low rates for higher ones, inventory remains tight. A gift of motivated sellers listing their properties would be pure magic—leading to more transactions and a balanced market. Forecasts for 2026 point to modest improvements, with existing-home sales potentially rising slightly as rates ease.
4. Real Intelligence
Artificial Intelligence (“AI”) has been all the rage in business circles for the last year. While Commonwealth is heavily engaged with AI, we haven’t forgotten the importance of Real Intelligence when it comes to the mortgage industry. When AI is combined with Real Intelligence, that is when the improvements occur. AI may be the future for productivity, but good old human intelligence and intuition must still be the basis of the industry.
5. Work-Life Balance
Perhaps the most underrated wish- a few quiet days off during the holidays to recharge before the spring rush. After all, even mortgage pros need time to deck those halls.
This Christmas, as rates hold steady and the market shows signs of stabilization, those of us at The Commonwealth Group are grateful for the wins of 2025 and optimistic about 2026. Whether Contract Underwriting, Contract Processing, Quality Control, Condo Project Approvals, Technology Deployment, or Consulting Services, we're ready to help more lenders help families achieve homeownership. For more information on how The Commonwealth Group can help lenders make Christmas housing wishes come true, contact Martin Luplow at [email protected].
From all of us here at The Commonwealth Group and Condoanalytics, we wish you all a Merry Christmas, Happy Holidays, and a prosperous New Year!
The Commonwealth Group is Innovative Services for the Mortgage Industry.
West Beibers, CMB, AMP, CRU
Chief Executive Officer
The Commonwealth Group Companies