Rates have had a pretty dramatic improvement since yesterday’s fed announcement

Rates have had a pretty dramatic improvement since yesterday’s fed announcement

Investor · Provo, UT · Member since 2016 · 759 posts · 626 votes

Rates have had a pretty dramatic improvement since yesterday’s fed announcement. 

As you have probably heard, they are projecting at least 3 cuts in 2024. Markets have responded well. Rates are down about .25% in the last 24 hours. 

You will start to see lower 6’s being advertised.

I think this is a pivotal moment where if you don't get into the market now the next few years will be brutal as competition and pricing increases.


Macro, strong demographics, and pent-up demand with a lack of inventory.

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Real Estate Agent · Atlanta, GA · Member since 2020 · 1k+ posts · 1k+ votes
2y

@Logan M., I concur. I've been trying to reiterate this to my buyers/clients. The same high-intensity buyer demand we experienced in 2021/early 2022 is going to be here again. While I'm speculating, I'm sure properties in my market are going to start receiving offers above asking again. Moreover, the inventory issue is not going to be resolved anytime soon so I'm expecting prices to continue to appreciate as we head into 2024. 

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  • Matthew CrivelliBusiness Member
    Lender · MA · Member since 2021 · 1k+ posts · 1k+ votes
    2y

    @Logan M.

    I agree. If rates end up near or below 5% we are going to see a feeding frenzy. Lots of people on the sidelines with cash sitting in money market accounts waiting for mortgages to become more affordable. We will likely see home appreciation to continue to be strong. 

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  • Real Estate Agent · Atlanta, GA · Member since 2020 · 1k+ posts · 1k+ votes
    2y

    @Logan M., I concur. I've been trying to reiterate this to my buyers/clients. The same high-intensity buyer demand we experienced in 2021/early 2022 is going to be here again. While I'm speculating, I'm sure properties in my market are going to start receiving offers above asking again. Moreover, the inventory issue is not going to be resolved anytime soon so I'm expecting prices to continue to appreciate as we head into 2024. 

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    2y

    Cant wait..  as a new home builder in my little sand box we have weathered the current situation really well.. As we moved to Empty nester style homes the last 16 months and most have sold for cash or close to   and thats the 650 to 1 mil price point.  but we still have lots that wont handle the Empty nester home foot print and are for families and kiddos so I have a back log of those and as things thaw and those buyers come back we can build those and close out this 90 home project.

    My BRRR clients that I fund their deals back east are still doing well on selling to investors and or refinancing and keeping them.. Keep in mind they are local and vertically integrated so the BRRR works for them in the refi realm quite well.

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