Who Needs a Hug?

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Filed under: Market Comentary

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Who in this crazy business needs a hug right now?! According to Freddie Mac, interest rates are over 7%. It feels like we’ve finally reached the spot where we are only dealing with people who really need to move. It’s a crazy time!

Stay Engaged – Interest Rates Will Likely Come Down Again

I still have a lot of faith that we will see interest rates come down in the next 6 – 12 months. But in the meantime, it’s a reminder that it’s not a time to fold up your chair and go home. Now is when you should be planting seeds.

Let’s not forget: there are still more people that would like to buy than there are available homes. Many of those potential buyers are currently on the sidelines because of where the interest rates are. When we see rates drop back into the low 6’s or 5’s, it is going to pull a bunch of those people back into this market.

Now is the time to stay engaged. It’s time to reach out to people. Go plant some seeds, which will yield fruit as things turn around.

The Real Estate Market is Resilient

Don’t get it wrong. By most accounts right now, everyone who has listings are still finding buyers if the property looks good and is priced right.

Keep your head up. The last 2 years have been insane, and now it is finally getting to the point where interest rates bumped up.

It is amazing how resilient the market is. If you would have asked me at the beginning of the year how we would have been doing passing into the 5% range, I would have sounded a huge alarm. The market actually stayed pretty strong when we reached 5%, there was some noticeable impact at 6%, and now that we’re at 7% the impact is undeniable.

Historically speaking, we will see inflation come back down. We are already starting to see signs of the economy slowing, which will bring inflation down and bring rates down again.

We need to be there to help everyone out when they are ready to buy again.

Real Estate Works Every Time

Guess what, real estate works every time – as long as you focus on the long game. If you need help putting together a financing strategy for yourself or a client, reach out to us at Franklin Loan Center for personalized recommendations.

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