The Beauty of BUYDOWNS – To Lower Payments & Save Deals

Thursday, October 27

There is a solution for payment relief that is nothing short of awesome: TEMPORARY RATE BUYDOWNS, aka 3-2-1; 2-1; or 1-0.5 buydowns (NOTE: these are NOT just “paying discount points” for a lower rate). HOW A 3-2-1 BUYDOWN WORKS For illustration purposes, assume we have a $100,000 loan and the mar...


Why I Am Convinced Rates Will FALL By March

Wednesday, October 19

I have myriad acquaintances in the mortgage industry (mortgage bank CEOs even) who insist rates will continue to rise throughout 2023. They tell me I am crazy to think they will fall as early as March - with inflation surging and the Fed on the warpath. They further tell me that the Fed cannot g...


The Housing Market Is Most Definitely NOT Frozen!

Thursday, October 06

America’s housing market did not fully bottom out until 2012 – a full four years after the 2008 mortgage meltdown. But, here is what is interesting: even when the market was at its absolute slowest ever in 2012, there were still 8,000 transactions closing every month within about a 60+ mile radi...


Are Rates Really Over 7%? Not Really; Rates Up 2% Since August; Survey

Tuesday, October 04

Last week’s average interest rate was 6.82% per Mortgage News Daily (about 1/2% higher than where they were last week). The average is up almost 2% from early August when it bottomed near 5% — amazingly. The average rate was in fact over 7% early last week, but they plummeted again (and I will e...


DEFLATION Coming Soon To A Theater Near You!

Friday, September 23

Stephanie Pomboy is the founder of a macro research firm called MacroMavens, and she was on this Wealthion Podcast recently, and it was so interesting I had to blog about it! I was fascinated by her insistence that we face DEFLATION as early as next year because everyone is talking about how en...


Is Tech Taking Over Real Estate and Mortgages?

Thursday, September 15

I have a very successful friend who owns a mortgage bank, and who still originates loans just to stay in the game. He spent six months pre-approving, educating and counseling a young millennial couple – only to see them leave for another lender offering an 1/8% lower rate after they got into con...