IN THIS ISSUE

• When everyone buys at the same time

• A 100% mortgage gets a congressional hearing

• How much monthly income should you spend

• Quiz: How much do you know about credit scores

• An Anakin-Padme mortgage meme

Read Time: 4 Minutes

What Happens When Everyone Buys At The Same Time?

January 15, 2024

Hello Home Buyer.

It's incredible how the housing market narrative changed so quickly. 

Just two months ago, news publications were telling us "there's never been a worse time to buy than rent" amid rising mortgage rates and a shrinking home inventory.

Now, they're saying that rapidly dropping mortgage rates kickstarted the spring housing market a few weeks early, which I can confirm from this month's influx of first-time home buyer activity.

It's no wonder:

🏡 30-year rates dropped more than 100 basis points

🏡 Home buyers have 17% more purchasing power

🏡 Housing sentiment is shifting positive

Based on what I'm seeing in company data, so fat this year, we have the typical seasonal home buyer coming into the market, and also all of the home buyers who sat last year out on the sidelines because of high rates.

This season has all the makings of a bull run in housing. Buyers should expect increased competition for homes and rising home prices. It's supply and demand.

Think of buying a home? With markets this hot, you'll want to know exactly how high you can go on an offer before you break the bank. Start with a mortgage pre-approval to set your right budget and find your target price range.

It may be higher (or lower) than you think. 

What's Your Biggest Question?
If there's one question about owning a home in the next 12 months, what would it be? Hit reply and let me know.

Happy Homebuying!

KNOW YOUR NUMBERS

4.12%

The most common 30-year mortgage rate in Freddie Mac's weekly mortgage rate survey, appearing 10 times since 2000. 

MORTGAGE SMART IN 60 SECONDS

100% Mortgage Gets A Congressional Hearing 

The HELPER Act moved one step closing to passage in law with last week's Senate committee hearing. The HELPER Act is a no-money-down, no mortgage insurance loan program for eligible teachers, first responders, and law enforcement personnel. 

Every business day, we make a 60-second video for our customers, highlighting the latest and most important stories in mortgage and real estate.

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WORD OF THE WEEK

DEBT-TO-INCOME

Debt-to-income is a measure of a home buyer’s cash flow and ability to repay a mortgage. It's often abbreviated as "DTI", which is pronounced "dee-tee-EYE".

What's a good DTI? Find out.

🤨 QUIZ TIME

What does your credit score measure?

A. How many credit cards you pay on-time each month

B. Your ability to pay monthly bills based on your monthly income

C. Your probability of making on-time mortgage payments for the next 90 days

D. Your commitment to paying your bills each month

Which answer do you think is correct?

🆕 NEW AND JUST FOR YOU!

This week, we wrote even more more helpful articles to help you be a better first-time buyer.

🏡 What is Loan Term?

🏡 What is a Homeowners Association (HOA)?

🏡 What is Debt-to-Income?

🏡 What is a Credit Score?

🏡 Conventional vs VA mortgage

Plus, we recently a search feature. Now, you can find fast answers to your more important mortgage questions (or find and re-read your favorite articles easily).

Try the new search feature.