Welcome to this month’s episode of the Market Advantage podcast by Optimal Blue. Hosts Olivia DeLancey and Brennan O'Connell are joined by Mike Vough, Optimal Blue’s head of corporate strategy, to discuss March 2025 mortgage rate lock data, the latest market trends, and the impact of technological innovations on driving profitability in the mortgage industry.

Key Takeaways:

• Positive Market Trends: March saw a 24% increase in rate lock volumes MoM and a 21% rise in purchase volumes MoM, indicating a strong market performance.
• Refinance Activity: Significant increases in rate-and-term refinances (up 52%) and cash-out refinances (up 20%) MoM due to a better rate environment.
• Purchase Market Challenges: Despite positive MoM numbers, YoY purchase volumes declined by 2%, with lock counts down 6%.
• Shift Toward Non-Agency Loans: Decrease in GSE-eligible production and an increase in non-agency and jumbo loans, driven by high investor demand.
• Technological Innovations: Introduction of AI tools like Ask Obi for real-time data access and automated hedging insights, helping lenders save time and maximize profitability.
• Strategic Recommendations: Emphasis on creating proprietary rate sheets and adopting dynamic, cashflow-based servicing valuations to stay competitive.

Links and Resources:

• Subscribe to the Market Advantage data report: https://www2.optimalblue.com/market-advantage/
• View the latest Market Advantage data report: https://www2.optimalblue.com/market-advantage/
• Follow Optimal Blue on LinkedIn: https://www.linkedin.com/company/optimal-blue/
• Subscribe to Optimal Blue’s YouTube channel: https://www.youtube.com/@Optimal-Blue
• Mike Vough’s recent opinion piece in MBA NewsLink: https://newslink.mba.org/mba-newslinks/2025/march/tech-and-ai-are-advancing-so-whats-next-for-mortgage-pricing/
• Follow Mike Vough on LinkedIn: https://www.linkedin.com/in/michael-vough-60467826/
• Follow Brennan O'Connell on LinkedIn: https://www.linkedin.com/in/brennan-oconnell/
• Follow Olivia DeLancey on LinkedIn: https://www.linkedin.com/in/olivia-delancey/

Mentioned in this episode:

Optimal Blue Summit 2026 | February 23-25 | Scottsdale, Arizona

In case you missed it – Optimal Blue has announced the dates for its 2026 Summit! Join us February 23 – 25 at Talking Stick Resort and Conference Center in Scottsdale, Arizona, for a client-exclusive event packed with strategic insight and innovation. Attendees will gain early access to Optimal Blue’s latest generative AI and automation tools, dive into expert-led sessions on pricing, compliance and more, and experience hands-on demos of new capabilities. Plus, it’s a chance to connect with capital markets pros, integration partners, and mortgage insiders—all while gaining actionable strategies to...