Brad's Blog
Mortgage rates have been moving against home buyers in recent weeks. But there is a sliver of hope on the horizon.
Freddie Mac’s benchmark national average 30-year, fixed-rate mortgage is nearing 7% once again, a far cry from when it looked like it was heading below 6% back in the early fall.
Several things have driven rates back up, including rising long-term Treasury yields, fears about accelerating inflation and a shrinking number of expected Federal Reserve rate cuts. And it is unclear if any of those big factors will change in the near future, especially with swirling uncertainty about policies such as tariffs.
Freddie Mac’s benchmark national average 30-year, fixed-rate mortgage is nearing 7% once again, a far cry from when it looked like it was heading below 6% back in the early fall.
Several things have driven rates back up, including rising long-term Treasury yields, fears about accelerating inflation and a shrinking number of expected Federal Reserve rate cuts. And it is unclear if any of those big factors will change in the near future, especially with swirling uncertainty about policies such as tariffs.
You saved for the down payment and worked the mortgage bill into your monthly budget. But what about all those other costs that come with owning a home?
Homeowner’s insurance, routine maintenance, property taxes and utilities have all been getting more expensive lately. Those expenses added up to an average of $1,180 a month, according to a report in June 2023 from the real-estate firm Zillow and the home-improvement tech company Thumbtack. The monthly mortgage payment for a typical home, assuming a 20% down payment, was $1,770.
Homeowner’s insurance, routine maintenance, property taxes and utilities have all been getting more expensive lately. Those expenses added up to an average of $1,180 a month, according to a report in June 2023 from the real-estate firm Zillow and the home-improvement tech company Thumbtack. The monthly mortgage payment for a typical home, assuming a 20% down payment, was $1,770.
When interest rates are high, getting a mortgage can be more challenging but it's possible. Here are some strategies you may consider:
Know your credit score and learn ways to improve it. A higher credit score can help you qualify for a better interest rate, even when rates are high. Pay off debts, make all payments on time, and keep credit card balances low to improve your score. If you’re tempted to buy gas and food with an ATM card, don’t! Use a credit card and pay off the complete balance every two weeks. When you use an ATM card, the money is debited from your account immediately. To build credit scores you need to show you’re response...
Know your credit score and learn ways to improve it. A higher credit score can help you qualify for a better interest rate, even when rates are high. Pay off debts, make all payments on time, and keep credit card balances low to improve your score. If you’re tempted to buy gas and food with an ATM card, don’t! Use a credit card and pay off the complete balance every two weeks. When you use an ATM card, the money is debited from your account immediately. To build credit scores you need to show you’re response...
They want to buy a house. They just don’t want to hire a contractor.
Real-estate agents say buyers right now seem in no mood to take on the additional costs and headaches of major renovation projects. There is no national data tracking how much quicker renovated homes sell than unrenovated ones, but there are signs of this change. It is one reason sellers are receiving an average of three offers now, compared with around six a year ago, according to the National Association of Realtors.
Real-estate agents say buyers right now seem in no mood to take on the additional costs and headaches of major renovation projects. There is no national data tracking how much quicker renovated homes sell than unrenovated ones, but there are signs of this change. It is one reason sellers are receiving an average of three offers now, compared with around six a year ago, according to the National Association of Realtors.
Homeownership is a significant milestone in many people's lives. It's not just about finding the perfect house; it's also about ensuring that your finances are in order to support this long-term commitment.
Do your clients need a little help with their down payment?
Any reverse mortgage professional in the business today is well aware of the lingering reputational issues plaguing the industry’s distribution to new clients, but one new editorial piece published by MarketWatch breaks the mold by instead focusing on ways in which the product could benefit those at or near retirement.
Ultimately, given the right circumstances, the reverse mortgage can provide a great opportunity to both fill in the gaps of a retirement plan or facilitate gifting and legacy desires while still living. With home values at record highs and interest rates still at low levels, this could be a great time to secure a reverse to help manage both needs and desires going forward.
First time home buyers may feel as if they are climbing a mountain trying to save for a down payment to purchase a house. Many buyers believe they need 20% down payment. We have several government loans with very little money down…..Here’s three programs that may brighten your day. Good news here too…you can ask the seller to pay for part or all of your closing costs.
Did you know that the majority of Americans dislike their neighbor? A particularly bad neighbor can lower your home’s value, disrupt your quality of life (and sleep), or even inspire you to relocate.
If you want to have neighbors that complement your new location with a sense of community, it’s important to check whether the grass is greener on the other side of the fence when touring homes.
If you want to have neighbors that complement your new location with a sense of community, it’s important to check whether the grass is greener on the other side of the fence when touring homes.