It has been reported by Mortgage News Daily, that a combination of uncertain future rate hikes and shifting in the rate recently has stirred a 4% increase this past week in people requesting to refinance mortgages. Although that number is still down from a year ago. Timing may be good because most areas of the country are experiencing softening in home values, although most places are not yet seeing major price drops in home listing prices. It is also important to know that after years of low interest rates and a booming economy, any slowing in the economy and any rise in interest rates is bound to seem painful. In reality, many experienced real estate operators and bankers have indicated for some time that an interest rate rise was imminent because rates have been historically low for a long period of time.
Essentially, the market is at a teetering point and regardless of your politics, it is largely believed that efforts are being made to stabilize inflation. That said, it is likely that many consumers are doing what they can to hedge their own financial matters ahead of what is expected to be a weakening economy if not an economy headed to recession. This is not all bad for the properly educated and prepared real estate operator, so get ready. The market is likely to be choppy for the next 12 months while we see how public and private markets react. We hope this helps, but again, we only offer our news with the intent to inform and not to offer any financial, legal, accounting, nor investment advice.