“The 30-year fixed-rate mortgage was 2.9% in the third quarter of 2021. We forecast mortgage rates to increase slightly through the remainder of the year and reach 3.0%, rising to 3.5% for full year 2022.”

Taking Time Off Can Be Costly

Smart Buyers Can Succeed by Planning Ahead

“Smart buyers should consider calculating a monthly payment not only at today’s rates, but also at rates that are a bit higher so that they won’t be derailed by a sudden upward move. . . .”

Bottom Line

1. Foreclosures Are Spiking Today

“As expected, now that the moratorium has been over for three months, foreclosure activity continues to increase. But it's increasing at a slower rate, and it appears that most of the activity is primarily on vacant and abandoned properties, or loans in foreclosure prior to the pandemic.”

“The tsunami of foreclosures many feared in the early days of the pandemic has not materialized thanks in large part to the swift and decisive foreclosure protections put in place by government policymakers and the mortgage servicing industry.”

“Failures by mortgage servicers and regulators worsened the impact of the economic crisis a decade ago. Regulators have learned their lesson, and we will be scrutinizing servicers to ensure they are doing all they can to help homeowners and follow the law.”

2. Rising Mortgage Rates Will Slow the Housing Market

Bottom Line

1. Use Your Equity To Buy a Home That Fits Your Needs

2. Move to the Location of Your Dreams

3. Start a New Business

“There is an estimate of 31.7 million small business owners in the United States, many of them started their business with the equity they had in their home.”

4. Fund an Education

Bottom Line

• When it comes to buying a home, there are a number of key milestones along the way.
• The process includes everything from building your team and understanding your finances to going house hunting, making an offer, and more.
• When you’re ready to start your journey, let’s connect so you have trusted guidance at every milestone in the process.

Some Highlights

• When it comes to buying a home, there are a number of key milestones along the way.
• The process includes everything from building your team and understanding your finances to going house hunting, making an offer, and more.
• When you’re ready to start your journey, let’s connect so you have trusted guidance at every milestone in the process.

Some Highlights

• When it comes to buying a home, there are a number of key milestones along the way.
• The process includes everything from building your team and understanding your finances to going house hunting, making an offer, and more.

What About This Winter?

Buyer Demand Remains Strong

“New housing data shows 2021's feverish home sales pace broke a yearly record in October, . . . with last month marking the eighth straight month of buyers snatching up homes more quickly than the fastest pace in previous years. . . .”

“There is still a great deal of demand at our sales centers with people lining up and not enough supply.”

Sellers Are About To List – Right Now

“The pandemic has delayed plans for many Americans, and homeowners looking to move on to the next stage of life are no exception. Recent survey data suggests the majority of prospective sellers are actively preparing to enter the market this winter.”

• 65% - Have just listed (19%) or plan to list this winter
• 93% - Have already taken steps toward listing their home, including working with an agent (28%)
• 36% - Have researched the value of their home and others in their neighborhood
• 36% - Have started making repairs or decluttering

• 33% - Have realized they want different home features
• 37% - Say their home no longer meets their family's needs
• 32% - Want to move closer to friends and family
• 23% - Are looking for a home office

Bottom Line

“At least 1.7 million more older workers than expected retired due to the pandemic recession.”

You Can Move Closer to the Ones You Love

You Can Find the Right Home for Your Needs

“Clearly from the age patterns, young people want to upsize, and the older generation is looking to downsize. . . .”

Bottom Line

Bottom Line

1. Rents Are Rising Quickly

2. Renters Miss Out on Equity Gains

3. Homeowners Can Customize to Their Heart’s Content

4. Owning a Home May Provide Greater Mobility than You Think

Bottom Line

• If you’re deciding whether you should make updates before you sell your house, lean on your agent to be your guide.
• If the market is flooded with houses for sale, updates may be necessary for your house to stand out. In our current sellers’ market, the added expenses might not be worth it.
• Let’s connect so you have expert advice on which updates are important in today’s market.

Some Highlights

• If you’re deciding whether you should make updates before you sell your house, lean on your agent to be your guide.
• If the market is flooded with houses for sale, updates may be necessary for your house to stand out. In our current sellers’ market, the added expenses might not be worth it.
• Let’s connect so you have expert advice on which updates are important in today’s market.

Some Highlights

• If you’re deciding whether you should make updates before you sell your house, lean on your agent to be your guide.
• If the market is flooded with houses for sale, updates may be necessary for your house to stand out. In our current sellers’ market, the added expenses might not be worth it.

“The objective of the VA Home Loan Guaranty program is to help eligible Veterans, active-duty personnel, surviving spouses, and members of the Reserves and National Guard purchase, retain, and adapt homes in recognition of their service. . . .”

2020 Data on VA Home Loans

• 1,246,817 home loans are guaranteed by the Veterans Administration
• The average VA loan amount totals $301,044
• 178,171 of those using a VA Loan are first-time homebuyers

Top Benefits of the VA Home Loan Program

“VA loans offer an extraordinary opportunity for veterans because of lower interest rates, lower monthly payments, no or low-down payments, and no private mortgage insurance.”

• Borrowers can often purchase a home with no down payment. In 2020, 350,094 individuals using a VA Loan were able to purchase their homes without putting money down.
• Many other loans with down payments under 20% require Private Mortgage Insurance (PMI). VA Loans do not require PMI, which means veterans can save on their monthly housing costs.
• Finally, VA-Backed Loans often offer the most competitive terms and interest rates.

Bottom Line

How much have home values appreciated over the last 12 months?

What’s happening with home prices right now?

What about next year?

1. Fannie Mae
2. Freddie Mac
3. Mortgage Bankers Association
4. Home Price Expectation Survey
5. Zelman & Associates
6. National Association of Realtors

Bottom Line

1. Higher Prices

2. Greater Return on Your Investment

“In the second quarter of 2021, the average homeowner gained approximately $51,500 in equity during the past year.”

3. Better Terms

So, is low housing inventory a big deal?

Bottom Line

Today’s Average Mortgage Rate Still Presents Buyers with a Great Opportunity

What Does That Mean for You?

“Rising mortgage rates, all else equal, will diminish house-buying power, meaning it will cost more per month for a borrower to buy ‘their same home.’”

Bottom Line

• Heading into the end of the year, you might wonder if it’s still a good time to sell your house. Here’s what the latest data from the National Association of Realtors (NAR) says.
• Housing supply is lower than last year, and home prices are up nationwide. Meanwhile, the average home is selling fast and receiving several offers. Listing now puts your house in the spotlight, meaning it could sell quickly – and for more than you’d expect.
• Feeling motivated? If you’re ready to sell and capitalize on today's market, let’s connect.

Some Highlights

• Heading into the end of the year, you might wonder if it’s still a good time to sell your house. Here’s what the latest data from the National Association of Realtors (NAR) says.
• Housing supply is lower than last year, and home prices are up nationwide. Meanwhile, the average home is selling fast and receiving several offers. Listing now puts your house in the spotlight, meaning it could sell quickly – and for more than you’d expect.
• Feeling motivated? If you’re ready to sell and capitalize on today's market, let’s connect.

Some Highlights

• Heading into the end of the year, you might wonder if it’s still a good time to sell your house. Here’s what the latest data from the National Association of Realtors (NAR) says.
• Housing supply is lower than last year, and home prices are up nationwide. Meanwhile, the average home is selling fast and receiving several offers. Listing now puts your house in the spotlight, meaning it could sell quickly – and for more than you’d expect.

“The likelihood of us having a foreclosure crisis again is about zero percent.”

There are fewer homeowners in trouble this time

Most of the mortgages in forbearance have enough equity to sell their homes

• 2017: 314,220
• 2018: 279,040
• 2019: 277,520

The current market can absorb listings coming to the market

Bottom Line

“The likelihood of us having a foreclosure crisis again is about zero percent.”

Freddie Mac:

“The average 30-year fixed-rate mortgage (FRM) is expected to be 3.0 percent in 2021 and 3.5 percent in 2022.”

Doug Duncan, Senior VP & Chief Economist, Fannie Mae:

“Right now, we forecast mortgage rates to average 3.3 percent in 2022, which, though slightly higher than 2020 and 2021, by historical standards remains extremely low and supportive of mortgage demand and affordability.” 

First American:

“Consensus forecasts predict that mortgage rates will hit 3.2 percent by the end of the year, and 3.7 percent by the end of 2022.”

Bottom Line

"Housing demand remains strong as buyers likely want to secure a home before mortgage rates increase even further next year."

“From one year ago, the inventory of unsold homes decreased 13%. . . .”

What Does This Mean for Sellers Today?

• To be the winning bid on their dream home.
• To buy before rates rise
• To buy before prices go even higher.

Your Leverage Can Help You Negotiate Your Best Terms

Bottom Line

“Since January of this year, the national median rent has increased by a staggering 16.4 percent. To put that in context, rent growth from January to September averaged just 3.4 percent in the pre-pandemic years from 2017-2019.”

The Money Renters Stand To Lose This Year

“. . . the average homeowner gained approximately $51,500 in equity during the past year.”

Bottom Line 

• Applying for a mortgage is a big step towards homeownership, but it doesn’t need to be one you fear. Here are some tips to help you prepare.
• Know your credit score and work to build strong credit. When you’re ready, lean on your agent to connect you with a lender so you can get pre-approved and begin your home search.
• Any major life change can be scary, and buying a home is no different. Let’s connect so you have an advisor by your side to take the fear out of the equation.

Some Highlights

• Applying for a mortgage is a big step towards homeownership, but it doesn’t need to be one you fear. Here are some tips to help you prepare.
• Know your credit score and work to build strong credit. When you’re ready, lean on your agent to connect you with a lender so you can get pre-approved and begin your home search.
• Any major life change can be scary, and buying a home is no different. Let’s connect so you have an advisor by your side to take the fear out of the equation.

Some Highlights

• Applying for a mortgage is a big step towards homeownership, but it doesn’t need to be one you fear. Here are some tips to help you prepare.
• Know your credit score and work to build strong credit. When you’re ready, lean on your agent to connect you with a lender so you can get pre-approved and begin your home search.

Remote Work Is Here To Stay

“. . . 66% of organizations are delaying reopening their offices due to new COVID-19 variants.”

“Among employees looking for new jobs, almost one in ten say it’s because they moved away from the office while working remotely and don’t want to go back on-site.”

More Remote Work Means a Greater Need for Home Offices

What Does This Mean for You?

Bottom Line

The Opportunity 

“The average homeowner with a mortgage has more than $200,000 in home equity as of mid-2021.”

Bottom Line

The Number of Homes for Sale Usually Peaks in the Fall

“Put simply, this September buyers had more options than they've had all year and while that's typical of early fall, that's not what happened in 2020. Still, it's important to remember that while buyers may have an easier time this fall than they did in the spring, the market remains more competitive than it has been historically at this time of year.” 

What Does That Mean for You?

Bottom Line

Home Appraisal

“. . . lenders typically require an appraisal to ensure that your loan-to-value ratio falls within their underwriting guidelines. Mortgages are secured loans where the lender uses your home as collateral in case you default on the agreed-upon payments.”

Home Inspection

“Home inspections are the opportunity to discover major defects that were not apparent at a buyer’s showing. . . . Your home inspection is to help you make an informed decision about the house, including its condition.”

Bottom Line

• If you’re a homeowner, today’s rising equity is great news. On average, homeowners have gained $51,500 in equity since this time last year.
• Whether it’s funding an education, fueling your next move, or starting a business, your home equity is a great tool you can use to power your dreams.
• Ready to sell? Let’s connect to talk about how you can take advantage of your rising equity to reach your goals.

Some Highlights

• If you’re a homeowner, today’s rising equity is great news. On average, homeowners have gained $51,500 in equity since this time last year.
• Whether it’s funding an education, fueling your next move, or starting a business, your home equity is a great tool you can use to power your dreams.
• Ready to sell? Let’s connect to talk about how you can take advantage of your rising equity to reach your goals.

Some Highlights

• If you’re a homeowner, today’s rising equity is great news. On average, homeowners have gained $51,500 in equity since this time last year.
• Whether it’s funding an education, fueling your next move, or starting a business, your home equity is a great tool you can use to power your dreams.

“The monthly payment required to purchase the average priced home with a 20% down 30-year fixed rate mortgage increased by nearly 20% (+$210) over the first nine months of 2021, . . . It now requires 21.6% of the median household income to make the monthly mortgage payment on the average home purchase, the least affordable housing has been since 30-year rates rose to nearly 5% back in late 2018.”

“The typical median-priced home around the U.S. remains affordable to workers earning an average wage, despite prices that keep going through the roof. Super-low interests and rising pay continue to be the main reasons why.”

Bottom Line