An
ugly week in the MBS market has moved mortgage rates up. Statements by
the Fed and its leader, Ben Bernanke, regarding the time frame
for easing back on the MBS stimulus known as QE, were considered by
investors to be a thumbs up on current economic growth. Essentially, if
the Fed is so optimistic about the speed of recovery, that it's willing
to pull back on the stimulus much earlier than
previously indicated; then investors definitely want to be taking
advantage of the potential increases in the stock markets. So, they
moved their investment funds from the bond markets to stocks, which
drove the bond markets down and interest rates up.
That's an extreme simplification of what went on this week, but how much do you really want to know?! A reality check is due, and it's likely that mortgage rates could get somewhat better over the coming weeks. Maybe not a lot better, but better. Our economic growth rate is not stellar, and there is still no fear of inflation, so many analysts expect to see the Fed continue its stimulus efforts. However, markets will bounce on every word from that group, and every word will be scrutinized more closely as time goes on. On the fun side, I've attached a colorful Housing Market comparison graphic that may be of interest. It shows the fall and rise of housing prices from 2009, 2011, and 2013 across the country. It may be helpful in convincing your buyers and sellers to do something sooner rather than later. The percentage of loss or gain shown is a 2 year comparison. So, the first one shows home prices declining an average of 17.6% from March of 2007 to March of 2009, and so on.
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4 Financing Tips For Your Rental Property! Team Thayer #realestate #realestateinvestor #investor #housing #market #rentals #mortgage #news #oregon
With the spring real estate market firing on all cylinders, it’s no wonder we are seeing investors come out in record numbers. Real estate exit strategies ranging from wholesale deals to full rehabs have become incredibly attractive in today’s housing industry. However, one strategy in particular looks to be in a great place: buy and hold rental property . Cash flow opportunities are through the roof, as rents are soaring in nearly every city from San Diego to New York . Now may be one of the best times ever to acquire a rental property. However, those that have yet to do so should mind due diligence and consider what they are getting into before they make the jump. While there are a myriad of things potential landlords should consider before financing their first rental property, I highly recommend starting with the following four: Rental Property Consideration 1: The Numbers Prospective rental property buyers must run the numbers to see how much they can afford