Good morning to the helpful news about our economy;
Residential Lending
Time to prepare for tomorrow, today. Call us. Call now.
Great News:
Home loan rates are back up to the upper 6’s
Prepare today for a better tomorrow.
A shorter letter this month as the country focus’s on the election and Hurricanes.
1) Interest rates: Slowly moving back up. Here’s why.
Last week’s employment and economic numbers were both surprisingly strong. A soft landing maybe possible supported by real job gains. Of these, 50 % of the new jobs were in the 16-19 year old category. An unusual number for people we generally think of as back in school. Add to this: Of job increases, 4 of 5 were full-time. On the flip side, the average hourly work week, continues softening.
All told, the stronger labor market is resulting in somewhat higher interest rates, as the next rate cut may be delayed or lower. Thus predictions are for the next cut in Federal Reserve interest rates, may be off the table, until after the election. Yes, we do have another jobs report for October, so for now, the best we can hope for is 1/4 % cut. Let’s use this time to prepare.
2) Economy:
A) Economic Activity: Being supported by a better economy, employment holding steady, and the aversion of a lasting dock workers strike, says a soft landing is possible. Yet, concerns still abound in some sectors. Meat processing plants for one.
B) Unemployment: Trending sideways is not a bad thing.
3) Residential Real Estate: Interest rates have moved upward to where we were at a couple of months ago. There is a general slowdown in this sector typical for 4th Quarter activity. Personally, I like to buy in the 4th Quarter, as Sellers recognize a slowing of buyer traffic and many professional shoppers stay home. Preparation is key to seasonal buying. CALL!
4) Commercial Real Estate: Due diligence and detailed planning continues to be critical. As our core focus is on retail centers for financing and re-financing, details do matter. With our developed expertise we are able to facilitate most any type of commercial financing. Call.
5) Jobs: For our economy, a pleasant number in last weeks jobs report. Yet, this was not good for interest rates. If it helps – bad news on the economy, is good news for mortgage rates.
Inflation Perspective: Continues muted, for now.
Good News:
Success continues in this tight market. A client recently purchased a 2-unit property, both to live in and as their initial real estate investment. A good plan and the result of a year’s worth of research and working together. Job well done !
Why successful in the crazy swings in our markets? Key is our deep pool of lending partners in helping find solutions – ones that work. This allows us to continue forward with a sense of certainty in closing the deal. Such is the benefit of proven experience and know how!
Consider:
Side-Light 1: We are more than just mortgages. You can turn to us of for: 1) Reverse 1031 Exchange – lower bank rates and private money, 2) Bridge loans – buy before you sell, 3) Cross Collateral loans – qualify on a replacement property loan, not the entire cross loan, 4) Irrevocable trusts – lower bank rates and private money, 5) have RSU’s with a private company – bank rate loans, 6) new residence loan qualification – without counting the departing residence debt, 7) Asset utilization loan – both depletion (as if income) and a no income, no debt service big bank account, covers it all – both owner-occupied and non-owner occupied – and cash out, 8) 1-year profit and loss income-expense statement to income qualify.
Side-Light 2: We are part of an investment group representing high-end properties – on the water, sea-front, lake and more. We do this by providing “fractional” investment. With this, we are seeking those having a property that fits this description – one you no longer need 365 days a year. Sound interesting? Perhaps, instead, you are seeking this kind of get-a-way, with the benefit of not having to support 365 days a year? We have solutions. Call Today.
Side-Light 3: For investors seeking an ‘easier’ lending path, we have lending options. Benefit: They cover most States, whereby we use only the subject properties income stream to qualify for the loan. Take your good credit and document assets – no tax returns or P&L’s – and purchase 1 – 9 unit properties. Want to know more, let’s talk. Give me a call.
Good News: We have great lending partners. They respect our work and attention to detail. This is good news for you, as they trust our approach and loan packages. In response, we carefully strive to maintain the quality of their depository relationships. This is called team chemistry and is what makes our lending relationship, a winner. Join our team, today
You have heard me say:
It starts with a first conversation.
Let’s talk. Preparing for your tomorrow, today.
With all the financial talk, the most important part is those we have around us. Be well and be safe! Most important: Enjoy your family and friends.
