Overwhelmed by the clickbait? Looking for information from an industry professional? Check out what one of our favorite lenders, Rob Downs, has to say and his game plan for 2023! He’s letting us know that lower rates are indeed coming and wants YOU to be ready!
Check out what Rob Downs with Southstate Bank has to say about lowering rates in 2023!
“Mortgage rates go the way of mortgage bonds. Bonds sold = higher rates. Bonds purchased = lower rates. There was a big selloff the later half of December, but there was very little volume, or liquidity, behind this move, i.e. fewer trades happening with many traders taking off for the holidays. So far, with traders rolling back into the office in 2023, we’ve recovered about 30% of those losses.
We probably won’t see a significant rally in advance of December CPI being released on Jan. 13th, which is a key inflation metric, but this is a really good start.
Lower rates are coming? Are you ready?
But… there’s a trap set! Home buyers expecting to wait for lower rates will be met with much more competition as these lower rates bring back a lot of buyers priced-out from the 2022 rising rate environment. While a lower rate can save you quite a bit in monthly payment, you can save THOUSANDS negotiating seller credits to cover your closing costs. That opportunity will be going to the wayside as lower rates bring back more buyers, increasing demand on a still limited supply of homes. And increased demand with still limited supply? Well, we’ve seen that game play out! Sale prices are expected to increase 5-10% in the Atlanta metro area this year as we remain one of the strongest markets nationwide.
Is now a good time to buy? That depends on what amount of home you can afford to buy while staying within a comfortable payment (made even more comfortable when you refi into a lower rate) and using no more than the amount of cash you’re comfortable with.”
Interested in learning more about your mortgage options in 2023? Get intouch Rob Downs here! Ready to start the