Good morning to Summertime;
Residential Lending
Belief In Yourself – Building the Facts to Show It.
Call us. Call now.
Markets continue to follow the Summer time patterns. Some markets up, some sideways and some down and interest rates remain the tease. We will continue to track what’s current and relevant. Good News: We will walk beside you, as we match your hopes and dreams with market realities, offering options and recommendations for which you choose. Our goal: To embolden you to move forward with confidence and knowledgable, knowing your possibilities.
Call us. The conversations is about you.
Important Points:
1) Interest Rates: Markets will continue its‘ sideway moves as politics, tariffs, and rates are being bantered. We likely won’t have any definitive direction – up or down – until the economy balances out all the words and speculation. Rate direction is still being debated.
Best advice: Make this month your month to prepare.
Summer Buying speaks to good timing and ready Sellers.
WE can help you buy smart and enjoy rate cuts later. CALL!
2) Economy:
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A) Economic Activity: A) First quarter GDP: Down 0.5 %. B) Question: How will the Big Beautiful Bill – recently passed – move throughout the economy? It will take several quarters and a careful review. C) Next issue is the impact – positive or negative – of the Trump tariffs. Once again, we will know far more over the next several quarters.
B) Employment: No shocks, with recent BLS Jobs numbers supporting other reporting sources. Good News: Most prognosticators reduced expectations of a recession – dramatically – from 60 % to 20 %. This update can help sustain current jobs and support hirings, new.
An interesting take-away – BLS with different anomalies. This time BLS shows a positive seasonal adjustments of 150 K jobs created, while ADP reported a loss of 30 K for the month. Second: Unemployment rate dropped to 4.1 %, aided by a reduction in the work force – those who stopped working.
3) Residential Real Estate: 1) Time does help wounds. 15 years ago, 25 % of mortgage holders were underwater. Today: 1.00 %. 2) Appreciation, being a consistent engine, does take a breather sometimes. We expect this year’s appreciation to be low single digits, with interest rates holding the market in check. 3) Ownership is good on so many levels. One is the ability to leverage your return on investment. Another is the stability of being in one place, with the emotional joy, as you drive up to ‘your’ home.
Whether for a home, or vacationing or investment diversification, housing will continue to be both a foundational cornerstone and an intricate fabric of our society. It is one where each of us participates, in one manner or another.
We are your investment specialist who stands with you, on your investment path. Let us know how we can help strengthen your portfolio or accelerate your life.
Good news:
We are well equipped to help Buyers succeed.
Your professional expert ready to start today. Call us.
4) Commercial Real Estate: Excellent investment opportunities are at hand. Call now. Let’s start preparing now. Gain the upper hand. Call today. Let’s start.
Key market: Recent headlines love to declare a faltering in apartment vacancy rates. Yet, actual occupancy is back up to 2016 and 2017 levels. This without CoVid stimulus money or rules of occupancy. Current numbers are a bit below pre-Covid, 2018.
5) Inflation Perspective: Decent readings for the past month, as we watch tariffs, a falling US dollar, and new commercial investments.
My Perspective:
There are winners and losers from the signing of the Big Beautiful Bill (OMBBA). For many some good news with the SALT going up to 40K for middle America. It tapers off for higher income earners. Also, the OMBBBA extends and expands the 2017 Tax Cuts and Jobs Act (TCJA).
The big debate: OMBBBA and the national debt. It has been a free-for-all with people from all sides having their own set of experts. Some say this will lead to a cut in deficits, while others say we need far more cuts in spending. The concern: Can we afford an ever increasing annual debt expense and how will Powell at the Fed respond. We will keep a constant and close watch.
Good News: For now, most headlines are just noise. Plus or minus, we have time to work out actual effects and adjust for real impacts.
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Even more: We will show you how to overcome standard fear peddling of Main Street Media – debt expense, decreases in SSI, Medicare, and the such.
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Another benefit: The lending market allows for loan qualifications – one’s needed to purchase an investment home – TO NOT impact the magical debt-to-income ratios required for owner-occupied homes. This gives us more options and possibilities. Let’s talk.
“Don’t wait to buy real estate, buy real estate and wait.” – T. Harv Eker
Our style of work is what makes us special. We meet each person where they are, offering effective guidance to solid, stable, and actionable options. All with a completely individual flavor. Give a ring today. Let us help build a solid path for you and those you care about.
QUESTION: Buy Now or Wait for Lower Rates
Homebuyers in the California market: Many are yet on the sidelines, waiting for mortgage rates to drop. Others want more choices to pick from. Interestingly, when it comes to investment properties – 3 to10 doors – Mom and Pop owners are continuing to increase their holdings, roughly doubling the market share of purchases.
Renters: They too, like choices and will often live in the most affordable and preferable circumstances, with many seeking SFR or duplexes – not apartments. M&P serves this market the most – not the Blackstones’ of the market, as often reported.
Property appreciation: Yes. Due to limited number of homes for sale, plus too few “new” homes under construction, leaving an imbalance of supply vs. demand. Outcome: Anticipate continued property appreciation. Question: Dream home found, Buy now or wait for lower rates? We can show you how to buy today, and take advantage of lower rates, later.
Is this your dilemma? Let’s talk. Don’t lose the home and location you desire. Here’s what we offer. We develop a detailed analysis and build a mortgage-options plan custom fit to your family finances. We show you how to take advantage of lower rates, if they happen.
Sound good? Call. Let’s analyze the cost of waiting vs buying, now. This is a benefit few in the mortgage world are able – or willing – to provide. Few will take this extra step. I do, because I care about your today and tomorrow. I look forward to hearing from you.
Call Today. Or, at my my web page, set a time for a first conversation – at your convenience.
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More Good News – What we Do!
This month, let’s spotlight another option extended to our clients. Using a common tool for an un-common retirement plan, using a reverse mortgage. A recent client elected to enjoy some retirement in another State. Not having enough cash, we used a reverse mortgage to provide for a payment-free new home. We offer more than the common options.
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Have an idea not easy to pursue – Call us. We love to have conversations to flush out every potential option and method, offering you a full range of best choices.
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“It starts with our first conversation”
Preparing for your tomorrow
By starting today.
With all the financial talk, we look forward to being an open forum where you can talk through questions, thoughts and solutions. All in the name of what is best for you.
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And what is most important: Those we have around us. Be well and be safe! Enjoy your family and friends, with thankfulness and gratitude.
