House prices falling in 11 markets, how accurate is the data?

House prices falling in 11 markets, how accurate is the data?

According to a new Realtor.com report, among America’s 50 biggest cities, 20 show annual price declines since last year, and the metro with the steepest drop might surprise you.  What markets are dropping the fastest and why?  How accurate is the data they are using? ...
Banks new motto: Survive until 25, what does this mean for real estate

Banks new motto: Survive until 25, what does this mean for real estate

  There is a new mantra being used in small/regional banks that is “survive until 2025”.  In essence the theory is that rates will drop precipitously and basically “bail out” many banks’ portfolios.  This includes treasury holdings that are underwater, commercial...
Will mortgage rates fall significantly in 2024?

Will mortgage rates fall significantly in 2024?

When I was writing this article mortgage rates were hovering right around 7%.  At the same time economists are predicting a sharp decline in mortgage rates and a booming 2024 real estate market.  On the other hand, the chart above shows a much different picture. ...
Why are home prices rising while mortgage rates stay high?

Why are home prices rising while mortgage rates stay high?

It is a bit perplexing; mortgage rates are over 7%, well over double their lows, and yet real estate prices are once again heading higher after a minor pullback late last year.  Prices have pivoted from last fall to make a strong comeback and approach new highs.  What...
What does higher for longer rates mean for real estate?

What does higher for longer rates mean for real estate?

  Wow, what a year.  In December the market was anticipating as many as 4 rate cuts this year. At the same time the federal reserve was doing a victory dance on pulling of a soft landing.  Fast forward and inflation is still hot and there is now a question of if...
Economy not as solid as headline numbers suggest

Economy not as solid as headline numbers suggest

It is interesting that the market continues to focus on interest rates and employment as the barometer for the economy while totally ignoring one metric.  As a lender I just did an analysis on our portfolio and one metric jumped off (chart above is my portfolio).  In...