In our last newsletter, we discussed the possibility that mortgage rates would remain higher for longer than many anticipated.  Here, we’ll discuss the housing side of the market, which really comes down to inventory and home prices. Just a quick reminder:  These articles I share here are researched and written by me!  As part of…

As interest rates began to climb near the end of 2022, there was some optimism that higher rates would be a short-lived phenomenon.  For a while, the expression “Marry the house, date the rate” was common (and cringey).  There was an expectation among some that homebuyers would surely be able to refinance their 6.xx% (or…

The real estate industry is undergoing significant consolidation as transaction volumes slide. The past few years have been a roller coaster for mortgage professionals.  Since the record-breaking year of 2021, mortgage origination volume has shrunk by almost 75%.  This is largely due to the unusual combination of extremely low housing inventory and mortgage interest rates…

As we head in to the new year, it’s a good time to step back and see what some of the housing industry’s biggest publications and groups are forecasting for 2024. Just like last year, our analysis covers three key areas: Home prices Home sales (number of sales) Mortgage rates And just like last year,…

Actually, no.  Not necessarily.  Maybe.  Maybe not. Pay very close to any refinance proposals you receive, ESPECIALLY from your current loan servicer! As we enter a falling-rate cycle, the initial trend for lenders will be to advertise what seem like amazingly low rates.  But beware:  Those low rates will come at a high price (points).…

I hope you had a great Thanksgiving!  I always enjoy this time of year, as the pace of life seems to slow down a bit.  It’s a nice respite from the go-go-go that life often becomes, and it’s a chance to reflect on the past 11 months. With respect to the year we’ve had in…

I’m a father of two young kids – ages ten and seven.  There are days lately where I wonder what the homebuying experience will be like for them.  Despite having had the lowest mortgage interest rates in US history during the past few years, it’s a tough pill to swallow that the biggest challenge in…

In the Federal Reserve’s (FED) fight against inflation, the labor market has proven to be a worthy adversary.   As we’ve discussed numerous times in this newsletter, the FED is targeting an unemployment rate of 4.5%.  (For reference, the unemployment rate was 3.8% in August 2023.)  They feel that this will reduce demand on the economy,…

The labor market is red hot, and the Fed isn’t too thrilled about that. As we head into fall of 2023, the Federal Reserve (Fed) continues to battle inflation. The Fed has made clear that they want to see the unemployment rate increase.  Simply put, the Fed believes that an increase in joblessness will slow…