- Win The House You Love
- Posts
- 🏡 Fed Rate Pause!
🏡 Fed Rate Pause!
Kyle Seagraves
November 02, 2023
 | Happy Thursday! In this quick newsletter we’re filling you in on market info every home buyer needs to know. We’re always happy to help! Feel free to ask us a question here and we’ll get back with your asap. — Kyle & Dan Mortgage Advisors NMLS 1701021 & 246527 |
1. Real Estate Groups Guilty of Inflated Commissions
Verdict in class-action lawsuit against real-estate industry groups found guilty of inflating commissions.
🏠 Impact on U.S. housing market: Verdict likely to have a deep impact on the market
💲 Potential reduction in friction costs: Legal contest could reduce housing friction costs by up to 30%
👁️ Improved transparency for consumers: Cases could lead to improved transparency around commissions
🏛️ Potential damages and appeals: Defendants ordered to pay nearly $1.8 billion in damages, with potential for increase. Appeals and settlements possible
2. Get A Free Home Loan Consultation With Us
Looking to speak with a Mortgage Advisor licensed in all 50 states?
All loan products (Conventional, FHA, VA and USDA)
Low down payment options
Free consult where we help you with your pre-qualification and home buying goals
3. Home Prices Hit Another Record High in August Despite Affordability Challenges
Home prices finished the summer at another record high as home affordability tanks to a historical low.
💲 Price: Home prices increased 0.9% in August month over month and 2.6% annually on a seasonally adjusted basis
↕️ Demand vs Supply: Underlying demand for housing is still outpacing supply even as prices become more expensive
🏠 Housing Affordability: Housing affordability hit a record low in August
📊 Market Health: The National Composite, the 10-City Composite, and seven individual cities stand at their all-time highs
4. Housing Experts Hopeful Fed Rate Hike Pause To Provide Housing Relief
Housing experts are hopeful that the Fed is done with rate hikes for 2023.
✅ Reasons for hope: Tight financial conditions, slowing inflation, and high Treasury yields may discourage further rate hikes
💲 Relief for mortgage rates: If conditions remain the same, mortgage rates could come down
❗️ Fed's stance: The Fed is focused on bringing inflation down to 2% and is not currently considering rate cuts
🏠 Potential impact: A pause in rate hikes could provide some relief to the mortgage industry and support a stronger housing market in 2024.