All Forum Posts by: Derek Brickley

Hey Ioulian!

Yes as long as the property is currently undergoing renovations you can use airdna for the DSCR calc. The rest of the details would depend on the specific deal/property but happy to go through that for you if that's helpful

Week of October 6, 2025

Hey everyone,

This week’s data paints a mixed picture: home prices are stabilizing with signs of renewed strength, while the Fed is split on what comes next for rates. Here’s what to know 👇

🏡 Why Homeownership Remains a Smart Investment

Cotality’s latest data shows home prices slipped just 0.3% in August but are still up 1.3% year-over-year. ICE’s report for September was even better — prices rose 0.17% month-over-month, marking the first uptick in eight months.

What’s driving it?

• Rates are easing, improving affordability to the best levels in 2.5 years.
• Inventory is tightening, with fewer new listings and more sellers pulling homes off the market.

📊 Bottom line: More buyers, fewer listings = upward pressure on prices. Cotality expects a 3.9% increase in home values over the next year — a solid outlook for agents and homeowners alike.

💬 Fed Minutes Reveal Deep Divide

The Fed’s September meeting minutes show just how split policymakers are. Some want to cut rates further to support the slowing job market, while others still worry inflation hasn’t cooled enough.

At that meeting, the Fed made its first rate cut of the year, dropping the Fed Funds Rate by 0.25%. (That’s the short-term rate banks charge each other, which indirectly influences mortgage rates.)

📊 Bottom line: The Fed’s in a tough spot — inflation is still above target, but growth is clearly slowing. The ongoing government shutdown has delayed key data, so the next Fed meeting on October 29 could bring more uncertainty (and potential volatility for rates).

🛍️ Retail Sales Cool in September, But Yearly Gains Hold

After two strong months, retail spending slowed in September — but annual sales remain healthy, led by online shopping, sporting goods, and apparel.

📊 Bottom line: Consumer spending is still holding up, which helps keep the economy afloat — but softer data like this supports the case for lower rates ahead.

📅 What’s Coming Up This Week

With the shutdown still affecting government reports, inflation, retail sales, and housing starts are likely to be delayed. However, we’ll still get the Homebuilder Confidence Report on Thursday, offering a pulse check on construction sentiment.

Catch you next week, Derek Brickley #LoansbyDB

Hey Chris!

Pretty straightforward, you can be the primary borrower and your friend/funding partner can go on title with you. Makes the down payment funds from him super easy to document. This could be either with conventional or FHA househacking. Regarding structuring the deal, you would likely want to discuss the partnership with a real estate attorney to put it in writing whichever way is fair/equitable to you both.

Hey Justin!

Yes pretty common for sure, depends if you want an interest only period or 40 year amortizing.  Hard to say for sure which might make the most sense, but feel free to reach out if it's helpful to go through some of those options

Hey Jenny!

Might be biased here but work with a lot of buyers and investors across the state so if it's helpful to look at some options feel free to reach out!

Week of September 29, 2025

Hey everyone!

It was a quiet but telling week for the economy. The government shutdown paused official data releases, but private reports still gave us a glimpse into what’s happening — and it’s pointing toward slower job growth, steady housing momentum, and likely lower rates ahead.

💼 Private Sector Job Growth Stalls in September

ADP reported the private sector lost 32,000 jobs last month — a sharp miss from the +50,000 forecast. Small and mid-sized businesses led the declines, while education, health care, and large companies were the only bright spots.

👉 Bottom line for housing and rates: Hiring has now slowed in three of the last four months, and job losses like this usually ease pressure on the Fed to keep rates high. That’s good news for buyers hoping for more affordability this fall.

📊 Government Shutdown Delays Key Reports

The shutdown paused major data releases — including the Bureau of Labor Statistics (BLS) jobs report and weekly unemployment claims — both of which typically drive market movement.

👉 Bottom line: The Fed’s October 29 meeting will happen with limited new data. With inflation cooling and employment weakening, odds still favor another rate cut this fall.

📉 Job Openings Stay Weak

August job openings came in at 7.2 million — holding near a two-year low and far below the 2022 peak of over 12 million. The hiring rate and quit rate also remain near decade lows, signaling fewer opportunities and lower worker confidence.

👉 Bottom line: A softer labor market supports falling mortgage rates — but slower hiring could also weigh on consumer spending later in the year.

🏡 Home Price Growth Slows, But Demand Rebounds

Home prices continued rising modestly — up 1.7% year-over-year per Case-Shiller — though growth is clearly cooling. FHFA’s index showed a similar 2.3% annual gain. Meanwhile, pending home sales jumped 4% in August, and new home sales have been trending higher as mortgage rates ease.

👉 Bottom line: Housing demand is returning as rates pull back. If that trend holds, price growth could reaccelerate heading into winter.

📅 What’s Coming Up This Week

Home price data from ICE and Cotality will be released, but government reports like jobless claims will likely stay on hold until the shutdown ends.

Catch you next week, Derek Brickley

Hey Cameron!

Sorry to hear that you and your clients had to go through that... we definitely could do that, but happy to have a conversation first to see if it makes sense for us both

Hey Rajesh!

I second what Clayton mentioned. Based on that, I'd recommend sticking around the 3 year mark. As long as your cashflow is solid and you're happy with it, all forecasts show within 3 years you should be able to refi lower. You could take a prepayment penalty when you refinance as well so it's not a use it or lose it type thing. I don't know anything about your deal of course, but it may be useful for you to consider other DSCR options since each will behave differently. Not sure what your overall goal is for the property either but feel free to reach out if that might be helpful

Inflation Steady, Home Sales Show Momentum

Week of September 22, 2025 in Review

Mortgage rates may be setting up for a fall as the Fed’s key inflation measure held steady last week. Meanwhile, housing data shows buyers are still active—and with rates easing, real estate agents could see more momentum heading into fall. Here’s what you need to know:

📊 Fed’s Inflation Gauge Holds Steady

August’s Personal Consumption Expenditures (PCE) index, the Fed’s go-to inflation measure, rose 0.3% month-over-month, nudging annual inflation from 2.6% to 2.7%. Core PCE, which strips out food and energy, increased 0.2% and stayed at 2.9% annually.

👉 What this means for real estate: The Fed is balancing stubborn inflation with a softening job market. With last week’s September 17 rate cut already in place, the next jobs report (October 3) could set the tone for further moves. If data keeps cooling, expect mortgage rates to keep trending lower—good news for your buyers on the fence.

💼 Jobless Claims Show Labor Market Strain

Initial unemployment claims dropped to 218,000, the second straight decline after hitting a four-year high. Continuing claims dipped slightly to 1.926 million but have stayed above 1.9M for 18 weeks.

👉 For realtors: A cooler job market often nudges the Fed toward rate cuts. Translation: softer labor data may give buyers improved affordability as mortgage rates ease.

🏡 Existing Home Sales Edge Lower

Existing home sales slipped 0.2% in August to a 4M annual pace. Inventory fell slightly month-over-month but remains nearly 12% higher than a year ago, with 1.53M homes on the market.

👉 For your buyers: This data reflects closings in August—before rates began dipping. NAR Chief Economist Lawrence Yun expects lower rates plus higher inventory to support stronger sales in the coming months. Now's the time to prep hesitant buyers.

🚀 New Home Sales Surge

Contracts for new homes jumped 21% in August to an annual pace of 800,000—the fastest since early 2022. July sales were also revised higher, showing builders are finally seeing momentum as mortgage rates trend lower.

👉 For your clients: Demand is strong, but supply is tricky. Of the 490K new homes on the market, only 124K are completed and move-in ready. The rest are still being built, meaning finished inventory is tight. This could keep upward pressure on prices if rates fall further.

📈 GDP Beats Expectations

Q2 2025 GDP growth was revised up to 3.8%, a sharp rebound from Q1’s 0.6% drop. Consumer spending and fewer imports helped drive the stronger number.

👉 Market lens: A resilient economy keeps the Fed cautious—but if inflation cools and jobs data weakens, mortgage rates should still trend lower.

🍪 Family Hack of the Week

September 29 is National Biscotti Day—perfect excuse for homemade Pistachio Biscotti. Easy to bake, keeps well, and makes a great open house snack for clients.

📅 What’s Coming Up This Week

• Monday: Pending Home Sales
• Tuesday: Home Price Appreciation
• Tuesday: Job Openings (JOLTS)
• Wednesday: ADP Private Payrolls
• Thursday: Jobless Claims
• Friday: September Jobs Report (big one!)

Catch you next week, Derek Brickley #LoansbyDB

Hey Matthew!

Already been said but it just depends your goals. Conventional would require 25% down but you could do 20% or 15% down payment on a DSCR loan. DSCR loans may see better terms depending on the situation because you'd also have the ability to take a prepayment penalty if it fits your strategy.

A DSCR loan allows you to vest the property into the LLC, but the mortgage is in your personal name(s). What will help with the debt in your personal names is how your CPA/accountant structures your business returns at the end of the year. For my own investing we use conventional loans as much as possible, however in Michigan where we invest prepayment penalties aren't as flexible. A lot of the investors we've worked with recently in CT elect either a 1 year or 3 year prepayment penalty to save more of their capital upfront and keep the terms comparable.

Happy to go through some details for you though if that's helpful! Feel free to reach out