MORTGAGE BLOG

Down Payment Costs Rise by 15% Annually: Here’s How to Keep Yours Low

Blog posted On September 06, 2024

According to Redfin, home buyers are now putting down an average of $67,000, which marks a nearly 15% increase compared to a year ago. This put the typical home buyer’s down payment at a whopping 18.6% of the purchase price, the highest level in over ten years. With this recent surge, prospective homeowners, realtors, and lenders alike are all wondering what this means for the future. And how can we still succeed in the home buying market despite record highs?

How to Spot and Avoid Real Estate Scams as a Home Buyer

Blog posted On August 29, 2024

Buying a home is probably one of the biggest financial investments you’ll make in your life, making you an appealing target for hackers and fraudsters. From wire fraud to email fraud to solicitation calls, there are several ways people might try to get your personal information and/or money. So in this blog, we’ll explore some of the most common real estate scams and how to avoid them.

Market Update: Fed Chair Jerome Powell Says it’s Time to Start Cutting Rates

Blog posted On August 23, 2024

The time has come! Today marks the second-to-last day of the Jackson Hole Symposium, which is a big central banking conference that takes place this time each year. This morning, Federal Reserve Chairman Jerome Powell took the stage for a highly anticipated speech about the current economic state and future Fed outlook. Though Powell is known for his elusive answers during press conferences, he had a straightforward message this morning: “The time has come for policy to adjust.” In other words, it’s time for rates cuts.

The Importance of a Real Estate Agent in Today's Market

Blog posted On August 22, 2024

A staple of the mortgage industry is the need for a REALTOR® during your home buying (or selling!) process. Many potential homeowners are questioning whether utilizing a real estate agent is even needed these days, believing they can just save the money and do the legwork themselves. Fortunately, there are still a multitude of reasons to work with a REALTOR® — why don’t we tackle a few of them?

Effective August 17th: Preparing for NAR's Upcoming Industry Changes

Blog posted On August 15, 2024

The National Association of REALTORS® (NAR) are implementing practice changes, effective on Saturday, August 17^th. Some of these changes include updates to compensation offers, written agreements, and communications with communities and consumers. These updates will affect anyone involved with real estate, including home buyers and real estate professionals. With this deadline fast approaching, let’s take a look at these practice changes one by one and what to expect going forward.

Market Update: Refinance Applications Surge Following Rate Drop

Blog posted On August 09, 2024

Following last week’s downward trend in mortgage rates, the number of refinance application submissions surged 16% week-over-week. Compared to the same period last year, the Refinance Index was up 59%. Lower rates mean more people could benefit from refinancing their mortgage and saving on their monthly mortgage payment

Key Things Buyers Should Consider When Purchasing a Home

Blog posted On August 08, 2024

After years of saving bit by bit, chipping away at debt, and boosting your credit score in preparation for buying a home, you’ve finally gotten to a good place. It’s time to wave goodbye to landlords and purchase your new home! Where do you even begin? It’s such a big life decision, and you want to make sure you find a home that checks your most important boxes while avoiding money-draining surprises. To help you determine your future home with confidence and clarity, let’s look through home buying green and red flags.

5 Strategies for Navigating a Low Affordability Housing Market

Blog posted On August 02, 2024

What are some of the biggest homeownership hurdles holding you back? Well, high interest rates and historically high home prices to start! It’s understandable to ask, “WHY are people buying now, and HOW are people affording homes?” Instead of holding off and continuing to wait for rates to drop, this may be the best time to buy, especially with the help of loan programs like Rate Rebound. According to MarketWatch, buying now is key—once the Fed finally starts cutting interest rates, the lack of home supply will remain, meaning that “high home prices today could soar.” Let’s tackle five strategies that can put you ahead of the game in this low affordability market.

Market Update: Rates Drop to Lowest Levels of the Year After Fed Announcement

Blog posted On August 01, 2024

We rounded out the last few days in July with a nice downward trend mortgage rates. Though we’re still waiting for some key employment reports to come out tomorrow, this week has been full of good news for rates and housing. Let’s dive in!

Addressing Affordability Challenges in Today's Housing Market: Effective Financing and Marketing Strategies for New Home Builders

Blog posted On July 31, 2024

By Contributing Author Anthony Grasst, VP National Builder Division

Current Market Issues and Challenges

The housing market is facing significant challenges. According to a recent survey by the Mortgage Bankers Association, many potential home buyers are waiting to purchase in hopes that interest rates will go down. The decision for many to wait is causing an overall drop in mortgage demand. This trend is exacerbated by rising home prices and high mortgage rates, both of which have contributed to a decrease in affordability and buyer hesitation.

80 Years: The History and Impact of the VA Loan

Blog posted On July 25, 2024

The VA home loan was created through the G.I. Bill, also known as the Servicemen’s Readjustment Act of 1944. Signed into law by President Franklin D. Roosevelt on June 22^nd, this legislation ensured an enduring legacy that continues to provide Veterans with vital resources, fostering a brighter future for generations to come. The VA Loan played a critical role in that development.

7 Popular Home Trends This Summer

Blog posted On July 18, 2024

The summer heatwave is rising, and so are these hot home décor trends! Whether it’s the Scandinavian and Japanese “Japandi-style” minimalist sensibilities, the “dark academia” reading rooms, or the growing popularity of dopamine design, there’s something for everyone in these home trends. Let’s walk through the seven trends taking the home design world by storm.

Market Update: Are Rate Cuts on the Horizon for the Fed?

Blog posted On July 17, 2024

This morning, we got news about the housing starts and building permits from June. Though both numbers were higher than expected, the increases are largely due to multifamily building. The more hopeful news of the week came from this morning’s comments from Fed members and yesterday’s National Association of Home Builders (NAHB) housing market sentiment index.

Market Update: Rates Hit Four-Month Low Following Cool Inflation News

Blog posted On July 11, 2024

Three cheers for the consumer price index (CPI)! This morning, the CPI for June showed that inflation is going down. As a result, MBS prices are significantly stronger, which has resulted in lower mortgage rate movement for the day. In fact, the drop has brought the average 30-year fixed mortgage rate to the lowest level since March. 

Market Update: Rates Inch Higher but Could Reverse the Trend with Upcoming Jobs Data

Blog posted On July 03, 2024

Mortgage rates have inched higher in recent weeks after starting June out with a nice winning streak. However, with the upcoming jobs reports, they could trend lower once again. Aside from inflation, jobs reports are the most influential set of economic data when it comes to mortgage rate trends. Weaker job markets tend to correlate to lower rates, and vice versa.

5 Tips on How to Financially Prepare for a Home Loan

Blog posted On June 28, 2024

Are you ready to purchase your first home, but overwhelmed with where to begin? The way to set yourself up for success for the home buying process is to consider preparing your finances and getting into the best financial shape possible before applying for a home loan. Let’s walk through some helpful tips to help the process go as smoothly and stress-free as possible.

Glimmers of Hope for Home Buyers Arise as Inventory Inches Up

Blog posted On June 21, 2024

Higher-trending mortgage rates getting you down? Here’s something you can get excited about: according to Realtor.com, there are 35.3% more homes on the market than this time last year. Even more exciting news: there is a rising number of affordable homes hitting the market.

Introducing MedPro Advantage – a Low Down Payment Program for Medical Professionals!

Blog posted On June 17, 2024

The cost of homeownership has become more and more costly in recent years – especially for those who might have preexisting student loan debt. Through our new MedPro Advantage program, we’re making it easier for doctors and other medical professionals to buy a home!

Market Update: Rates Slide After Low Inflation Data

Blog posted On June 13, 2024

Yesterday brought some great news for those of us who enjoy lower-trending mortgage rates. Following the release of May’s inflation report, rates took a tumble. Later in the day, they inched up slightly following the Fed announcement, but the overall daily trend was still downward progress.

Millennials and Gen Zers Plan on Using Retirement Savings to Buy a Home, but Do They Know About These Alternatives?

Blog posted On June 06, 2024

Buying a home has become more and more expensive over the years. Between mortgage rates, home prices, and upfront costs, affordability remains a top issue for most buyers. One of the biggest hurdles for buyers – especially first-time buyers – is the down payment. Even though some loans allow for down payments as low as 1% to 3%., that’s still thousands of dollars. To finance the upfront costs, younger buyers are planning to tap into retirement savings. Though this could help them purchase a home in the short-term, it could end up hurting them in the long run.

Breaking News! HUD Updated Gift Fund Guidelines to Add Increasing Flexibility on FHA Loans

Blog posted On June 05, 2024

The Department of Housing and Urban Development (HUD) recently updated its guidebook that spans over 1,800 pages. One of the updates brought welcome news for borrowers using an FHA Loan. With the new requirements, borrowers have additional flexibility surrounding any gift funds they might receive.

Market Update: Rates Unchanged After a Volatile Week; More Drama Ahead This Week Could Send them Lower

Blog posted On June 03, 2024

Though last week was a short week thanks to the Memorial Day holiday, it sure felt long. Rates started off the week inching higher – partly due to the long weekend partly due to comments from some Fed members. Then, they started to trend lower toward the end of the week as a result from some rate-friendly economic data. This week holds the potential to continue the lower rate trend with the jobs reports.

VA Plans to Temporarily Allow Buyers to Compensate Agents

Blog posted On May 23, 2024

The Department of Veterans Affairs (VA) has finally broken its silence on the future of buyer’s agent commissions for borrowers using VA Loans. In an unofficial announcement on Tuesday, VA Deputy Director of Policy Michelle Corridon stated that the Department plans to temporarily lift its restriction on that prohibits buyers from directly paying for professional real estate representation. This circular is slated to be issued between now and June 12, and will help buyers while the agency engages in a formal rulemaking process for a longer-term solution.

Waiting for Rates to Fall Might Not Save You Money, According to This Shark Tank Expert

Blog posted On May 16, 2024

Thinking about waiting out the higher-trending rates? You’re not alone. Many home buyers are sitting on the sidelines, eagerly waiting for rates to fall. Most assume that if they wait, they’ll save money. But this might not be the case. In fact, it could end up costing them more in the long run.

Market Update: Good News for Rates This Morning Thanks to Inflation & Retail Sales Data

Blog posted On May 15, 2024

Earlier today, we received April’s consumer price index (CPI) and retail sales reports – both of which had slightly lower numbers than experts had predicted. The result has been overwhelmingly positive. Prices on mortgage-backed securities are showing strong upward movement so far, which should result in lower-trending rates for today.