Another half-percent interest rate hike dominated last week’s news, and the Fed warned that we’ll see more of the same come June or July.
Knowing this means knowing there are opportunity costs and monetary costs to delaying a purchase.
While naysayers advocate the timid approach, citing their fears of a downturn, here is what we are seeing:
Qualified buyers still very much in the game. We may be past the peak of the frenzy, but it’s still a competitive, vibrant market filled with smart buyers who know that waiting to buy comes at a very real price.
Low unemployment. The unemployment rate has bounced back to just one percent below pre-pandemic levels. This indicates that high competition for real estate is going to be a reality for some time.
More inventory. The lean housing market “might be putting on some fat”, with more houses on the market.
Lower prices. We’re seeing data about price drops in major markets as we move past peak frenzy. This creates an opening for those sharp-eyed opportunists who are educated, prepared, and see the moment for what it is.
The stock market is not the economy. In response to the Fed’s latest announcement, stocks shot up, then pulled back the next day. None of this cancels out the facts that homeowners have amassed incredible equity over the past few years, the nation has high employment rates, and that Americans overall have lower household debt and more savings.
Ready to pull the trigger? MBANC has program that can make it easy:
- Bank Statement Loans: qualify using personal or business bank statements
- Rental Income DSCR: qualify using subject property projected rental income
- Asset Utilization: qualify based on your liquid and semi-liquid assets
- Loans for Foreign Nationals: no U.S. credit history required to qualify
- Interest-Only Loans: lower monthly payments, converts to a fixed-rate loan after 10 years.
Visit MBANC.com and get started today.