Planted Local Lending is actively looking to hire 2-3 more loan officers this year. If you know of anyone who might be a good fit, please connect us. Referrals are always the best way to find good people!
Looking at the history of home prices from 1941 to today, home values have increased 73 years, decreased 7 and been flat one. The concentration of losses was during the housing bubble when there was wild speculation, not enough demand and a glut of supply - not at all like today. Your home is a big part of your wealth-building plan, so take good care of it.
Let me explain... Inflation drives mortgage rates, and inflation is starting to come down. Sure, we wish it was coming down more quickly, but it is coming down and that will move mortgage rates lower also. Inflation is most often judged by the Consumer Price Index, or CPI. Shelter makes up 43% of Core CPI, and those numbers are lagging. Rents and Owners-Equivalent Rents have gone up dramatically, peaking in early 2022. Though, they have eased up recently significantly. When people are surveyed, they often signed leases a couple months prior, meaning a long lag in the reporting, especially CPI - which drives mortgage rates. Think of it like a roller coaster, the real costs are in the first car, but the reported costs are in the back car. The lag pushes CPI up about 2%. Eventually, that lag is going to catch up and rates are going to come down. When the market crashed in 2007, there were more than 4M homes available; now, less than 1M - all while our population has grown. If rates drop, we'll see an increase in buyer activity - multiple offers and upside pricing pressure. Values really accelerated the last couple years when there was such low inventory. We've seen 121 straight months of home values increasing. Then last month it came down just slightly. If rates come down, then home values will not come down anymore - and we know it is nearly impossible to time the bottom of the market. Most will wait until after the bottom, when prices start going back up... The seller will be more confident, there will be more competition. Can you see the future before it becomes obvious? Inflation down, rates down, Use the fear of the unknown and enter the market now, buyers!
Experts say homeowners are leaning into a warm, refined and luxe elegance with an emphasis on natural materials.