How to Sell Your Home FAST | October Market Recap (2024)

Last month we talked about the impact of the September 18th Fed rate cut and the impact that had on mortgage rates (shooting the average 30 YR fixed mortgage from 6% to 7%).

From simplistic terms, what happens when mortgage rates jump 1% in one single month? Home affordability goes down? What is naturally a seasonal business? Real estate. Naturally, we’ve seen more houses sitting on the market, longer than usual. Good for buyers, not good for sellers. Remember 2-3 months ago when I said buy now (when rates were near 6%) and I said to sell spring 2025, if you could hold off? We will see if my spring prediction is correct, once the market has had time adjust to a new President and upcoming fiscal policy and economic factors.

As you also know, I only come with solutions, not just “told you so’s”. Evergreen has launched our Evergreen Partnership Channels which include 3 wings: an Affinity (for employers to offer incentives to their employees when they purchase a home), Preferred Builder (builders to offer incentives to buyers of their homes) and the Home Seller Advantage (sellers to offer an incentive to buyers of their single home) program. All three of these are aimed at reducing the monthly mortgage payments for buyers – offering a .75% of the buyers borrowed loan amount as a lender credit (example: $600,000 loan amount would be a $4,500 lender credit).

Today I am going to highlight the Home Seller Advantage. So, if you’re someone who has a house that is listed (or will be listed) and is sitting on the market a little too long or is contingent to buy another property and needs a little juice on your listing – this is for you. Here are the simple steps to get this kicked off (more detail in the video):

1. Seller/Evergreen sign a contract with Evergreen’s .75% of the loan amount contribution (seller may choose to offer a seller credit as well to beef up the total).

2. I deploy our marketing team to produce an array of marketing materials, flyers, scenarios in order to attract more buyers to the home.

3. The listing description/agent remarks are updated to include this buyer incentive.

4. Buyers come in droves!

5. You buy your next home! Why do this?! The main deterrent of buyers purchasing real estate right now are the monthly payments.

For example, dropping the price of your home $10,000, saves the buyer about $50-75/month. Offering a $10,000 credit towards a permanent rate buy down or temporary rate buy down can save a buyer several hundreds of dollars per month. That is impact. You will see visual examples in the video.

When & Why to Refinance | September Market Recap (2024)

The million dollar question right now – when do I refinance my mortgage? Or, as previously discussed last month, when do I buy or sell my home?!

There is a lot of media coverage surrounding dropping mortgage rates, the Fed’s rhetoric around cutting the Fed Funds rate, and the presidential election. There is only one certainty with mortgage rates, they’re unpredictable.

The Fed did a 50 basis point cut on Sept 18th. I got roughly 7,000 text messages if mortgage rates dropped .5% within seconds of the Fed announcement. If you recall the below from last month’s newsletter, it perfectly explains why it was even possible for mortgage rates to go UP after the Fed cut rates. The general rule of thumb is you want to see a 1% drop in mortgage rates, from your current rate, for a rate/term refinance to make sense. But this is not the only reason to refinance.

Here are the top reasons to refinance your home loan:

1. Mortgage rates were teetering around 8% last October 2023 and now are hovering in the low 6s-high 5%s, so you’re seeing a 1%+ drop for certain clients.

2. Cashing out equity – HELOCs which are common loans to pull equity out are 8-8.5%, so doing a cash out refinance is a cheaper option to utilize equity in your home for remodels, purchasing another home, buying a business, etc.

3. Paying off higher interest debt – consumer debt in the US is at an all time high (credit cards, auto loans, student loans, etc - $17.8 trillion), the average credit card interest rate is 20.65%

4. Shorter term – we had a client on a 30 YR fixed who had bought a year ago. Due to the drop in mortgage rates, we were able to refinance her mortgage to a 15 YR and keep her payment the same as what it was on the higher rate 30 YR Now remember, just because you have a mortgage, does not mean you still qualify for a refinance (even if the payment is lower). WHAT?!!? We as the lender still need to verify your credit, debt, income and assets to refinance you. If there have been any significant changes in those, you may not qualify (job changes, lower credit score, more debt, etc.). Make sure to verbalize these changes to your lender (well me, of course!)

August Mortgage Update (2024)

Sitting on the fence on whether to buy or sell real estate in the face of a looming Fed rate cut, election season and falling mortgage rates? In this video I discuss why buyers should buy now and sellers should sell later.

As always, watch the video below or give me a call to find out more and hear the can/can’t dos 😉

June Mortgage Update (2024)

Ever wanted to build a duplex, tri-plex or fourplex and rent out the other units? Or build a duplex and rent it out? You now can get financing with our conventional construction loan with as low as 10% down!

As always, watch the video below or give me a call to find out more and hear the can/can’t dos 😉

May Mortgage Update (2024)

I’ve had several clients recently who are looking to tap into their flush equity positions in their houses for repairs, prep their house to list, to consolidate high interest rate debt, to buy another home, etc. We’ve partnered with Figure Lending to offer a Home Equity Line of Credit product that is 100% online and seamless. A few clicks of the mouse and within 5 days, you can tap into a $25,000-$400,000 fixed equity line. The best part (other than the 5 day turn time), is you don’t mess with your super low 1st mortgage interest rate. Most other equity lines take 30-45 days to close, have early pay off/closure penalties and feel like you’re giving a blood sample to get approved. Not ours.

To show you how easy this is – here is the information needed and you can see your equity options in seconds (with no hard credit pull):

Property address you’d like to get a HELOC on:

Occupancy type (primary or second home):

Full legal name:

Date of birth:

Phone number:

Email:

Total annual income (gross):

Employment type (employed full time, part time, self-employed, retirement, etc.):

Other income (rentals, etc.):

Consent to do a SOFT credit check (does not ding your credit to see options – say yes or no):

April Mortgage Update (2024)

Did my subject line catch you? Turn downs in to turn UPS! I have to have a little fun with it.

Last month, we closed 12 loans for our clients. What slow market? These don’t come easy, many of my loans year to date have been “turn down” loans that we were able to find a loan product for – which makes it a “turn up”, because our clients were able to buy a home!

The most common “turn down to turn up” loan programs I’ve been using lately are as follows:

DSCR – Debt Service Coverage Ratio: we look at the rental income either being received or going to be received on the subject property and see if it covers 80-100% of the interest only mortgage payment (no other income considered).

Bank Statement: we look at business deposits (revenue) for the past 12-24 months and “create” income. This is perfect/commonly used for business owner’s that had a “paper” loss on their taxes.

Asset Depletion: we “create” an income stream using strictly assets. Most common for heavy asset borrowers who are not drawing from retirement or are not of retirement age. Take the qualified assets and divide by 84 months and BAM, income!

March Mortgage Update (2024)

Okay, I called it didn’t I? Things are heating up – remember a few months ago, “when Seattle sneezes we get the cold.” Of my 5 pending sales last week, 80% were in multiple offer situations. Starting to feel like that Seattle market.

Spring is upon us, some listings are coming on and buyers are out in wolf packs. BE PREPARED, GET YOUR CLIENTS PREPARED.

What I have been getting a lot of calls on, and figured I’d address, is buyers needed shorter-term financing. They’re relocating from higher cost areas to be close to family. They have $$$ in equity but need a bridge loan solution and then will pay off their mortgage once their departing residence sells. I took this to our Skunkworks product development meeting and WAHLA, I present you the “Step Down” bridge loan. Sound like you or someone you know? You’ll have to watch the video for more.

February Mortgage Update (2024)

There are a few options where you can buy a home with 0% down. During the rampant COVID real estate market, these programs were rarely used, due to ample buyer competition. With the market softening over the past year or so, they are becoming more prevalent – so it’s important to have a refresher!

Here are the most common:

WSHFC Home Advantage

a. Income cap: $180,000

b. Location restriction: Washington State

c. Property restriction: 1 & 2 unit stick built, condos, manufactured homes

d. Occupancy: Primary

e. Mortgage insurance: follow underlying lien

f. Debt ratios: 50% (can go higher with AUS approval)

g. Minimum FICO: per agency, some 640+

h. Other: can own another home, can have non-occ co-signer, have to be first time home buyer to use DPA

USDA

a. Income cap: https://www.rd.usda.gov/files/rd-grhl...

b. Location restriction: Rural areas (not city limits) https://eligibility.sc.egov.usda.gov/...

c. Property restriction: 1 unit stick built, condos, manufactured homes

d. Occupancy: Primary

e. Mortgage insurance: .35% “annual fee”

f. Debt ratios: 29/41%

g. Minimum FICO: 640

h. Other: has a up front loan guarantee fee of 1%, don’t have to be a first-time home buyer

VA

a. Income cap: None

b. Location restriction: None

c. Property restriction: 1-4 unit stick built, condos, manufactured homes

d. Occupancy: Primary

e. Mortgage insurance: waived

f. Debt ratios: 50% (can go higher with AUS approval)

g. Minimum FICO: 580

h. Other: have to be a military veteran, might have funding fee depending on the vet

January Mortgage Update 2024

The market is heating up and thawing out all that snow & ice - GET READY FOR THE CRAZINESS.

We are witnessing a rebound from a 30-year low in real estate sales in 2023, accompanied by a nearly 1% decrease in mortgage rates since the peak around October 26th. With buyers encountering multiple offer situations once more, the key for buyers in such competitive scenarios is having a competitive edge.

I'm here to provide you with that advantage. It is all about preparation & products.

December Mortgage Update 2023

I have a holiday present for you – it’s called a Blended Rate Calculator.

Doesn’t sound too sexy I know, but hear me out. I keep talking to clients/friends/family/etc. that tell me, “I’m going to keep my current house because I have such a low rate” or “I’m just going to rent out my current house because I have such a low rate”. Totally get it, but as we all know, not every situation is created equal.

I have built this calculator to show you 3 different options – (1) if you sell your house and pay off debt, (2) put the net proceeds to the full down payment or (3) if to rent/keep your home. There is also a section where a refinance may make sense, even if you have a low rate on your current mortgage. Don’t believe me? Check out the calc: click here >

November Mortgage Update 2023

It’s not often I pull out my crystal ball and publicly post my work thoughts on my Instagram story, but I was feeling risky one afternoon. But if you don’t follow me (this is not a plug to follow me, I promise) I wanted to bring you “email followers” my crystal ball predictions for enjoyment and/or your thoughts. Or so you can throw tomatoes at me at a later date.

[I’m going to paraphrase here – more in the video]

It will be a SLOW winter for real estate sales. High rates/low inventory, low home affordability, much of the same story. We have seen THIS peak in mortgage rates for the next few years and the fed is done hiking the fed funds rate (barring some global crisis, debt explosion, war, global pandemic). In the next 6-12 months we will see mortgage rates trickle down to 5.5-6.5% on 30 YR paper, which will excite some. However, inventory will remain low and competitive. Many home builders have slowed or paused housing starts due to high rates and easing home value. Many homeowners are sitting on a sub 4% rate (like many of you) so they/you will not have a huge itch to sell even when rates hover in the 5.5-6.5%. This will continue to compress inventory as more buyers will surface with these relatively lower mortgage rates.

Positive (for buyers): lower mortgage rates = more digestible mortgage payments, which makes buying a home more affordable (all for this).

Negative (for buyers): lower mortgage rates also trigger more demand. Mtg rates don’t matter if your offer isn’t accepted. The bar to entry on housing is lower, the lower rates are. More and more buyers will jump off the fence as mortgage rates soften. There will not be enough supply to meet demand, therefore driving home prices up, steadily (not 20% YOY COVID numbers – sorry current homeowners).

Opportunity: IF you have the financial means to purchase a home, do it sooner than later. Negotiate a seller credit (very common right now), permanently or temporarily buy down the rate, and refinance when rates drop. Buy a home you love, in a good location that will suit your needs for 2+ years. This buyer opportunity will dwindle once rates soften (maybe as early as spring 2024). First time and move up buyers have the biggest opportunity right now. If you currently own a home that fits your family’s needs for the foreseeable future – enjoy that low rate, pull out a lawn chair and observe the chaos.

October Mortgage Update 2023

Amidst the flood of TikToks, YouTube shorts, and Instagram videos discussing the new 5% requirement for 2-4 unit properties (effective Nov 18th), there's an important reality they often overlook, especially in this competitive/high rate/low inventory market.

In this video, we'll delve into the noteworthy developments, including Fannie Mae and Freddie Mac's reduction of down payment requirements for owner-occupied 2-4 unit properties from 15-25% down to just 5%.

Additionally, we'll provide valuable insights into the new temporary 2024 loan limits. Of course, we'll also keep you informed about the latest rates, turn times, and the ongoing trends in this persistently high-interest rate market. But here's the exciting part: there are substantial opportunities on the horizon. Don't miss out. If you or someone you know is contemplating a home purchase in the near future, this month's update is a must-watch!

September Mortgage Update 2023

It's not often that you get Freddie Mac in person to Bellingham to host a realtor and home buyer workshop(s).

In this video, you will hear about my big takeaways from both workshop(s) that are applicable to anyone that is a potential home buyer, home owner or real estate professional.

And as always, we will cover rates/turn times and what the heck is happening in this stubbornly high interest rate market. But, there are some BIG opportunities!

Tune in if you're thinking about buying a home or know someone that is planning on buying a home in the near future, you need to watch this month's update!

August Mortgage Update 2023

Welcome to our August mortgage update!

Yes, mortgage rates have stubbornly reached 20-year highs.

Yes, inventory is still low.

Yes, home affordability is at an all-time low.

Yes, home buyers are rate sensitive.

Yes, I have some good news.

In this mortgage update, we discuss the latest mortgage rates and trends, as well as our current closing and appraisal turn times. I also talk through a forgotten about loan program through Washington State Housing Finance Commission (WSHFC) called the Home Advantage loan that is saving a few of my clients thousands of $$ on their mortgage rates/closing costs - even in this high rate environment.

July Mortgage Update 2023

Welcome to our July mortgage update! In this video, we'll be sharing how we may have seen the "bottom" of the real estate market - due to mortgage rates trending down and months of inventory staying stubbornly low.

But that's not all. We'll also be discussing the latest mortgage rates and trends, as well as our current closing and appraisal turn times. If you're thinking about buying a home or refinancing your mortgage, you won't want to miss this update.

So grab a cup of coffee and join us for our June mortgage update. Don't forget to like and subscribe to stay up-to-date on the latest news and tips in the world of mortgages!

June 2023 Mortgage Update

Welcome to our June mortgage update! In this video, we'll be sharing 3 documents we are using to help our clients WIN in this low inventory market & how we are creating inventory for our buyers.

But that's not all. We'll also be discussing the latest mortgage rates and trends, as well as our current closing and appraisal turn times. If you're thinking about buying a home or refinancing your mortgage, you won't want to miss this update.

So grab a cup of coffee and join us for our June mortgage update. Don't forget to like and subscribe to stay up-to-date on the latest news and tips in the world of mortgages!

May 2023 Mortgage Update

In this video, we'll be sharing some exciting news about our new loan product called "Fast as Cash." This loan is designed for homebuyers who want a fast, streamlined mortgage process with no appraisal or financing contingency. With Fast as Cash, you can close your loan in just 10 days! But that's not all.

We'll also be discussing the latest mortgage rates and trends, as well as our current closing and appraisal turn times. If you're thinking about buying a home or refinancing your mortgage, you won't want to miss this update.

So grab a cup of coffee and join us for our May mortgage update. Don't forget to like and subscribe to stay up-to-date on the latest news and tips in the world of mortgages!

April 2023 Mortgage Update

Many of my clients were sitting on the fence waiting for that massive influx of spring inventory...anyone else still sitting on that fence?!

Here is the good news, here at Evergreen Home Loans we have a "Doctor Loan" which is a low down payment option for medical professionals (psst, not just doctors).

March 2023 Mortgage Update

Mortgage rates are up again?! Here is the good news, Evergreen Home Loans just launched a jumbo construction loan with as low as a $4,500 origination fee. One of the lowest I've personally seen in market. Tune in!

February 2023 Mortgage Update

Learn about how to buy a home without selling your home first with Evergreen's Innovative Product: StepUp. Also, what are mortgage rates doing and turn times? Aka what is it going to cost me to borrow money and how quickly can you close my loan? Tune in!

January 2023 Mortgage Update

Learn about how to secure a close to 3% rate with Evergreen's Innovative Product: Seller Buydown. Also, what are mortgage rates doing and turn times? Aka what is it going to cost me to borrow money and how quickly can you close my loan? Tune in!

December 2022 Mortgage Update

Learn about Evergreen's newest innovative product the Buyer Booster program. This program gives a $2,500 lender credit opportunity for a future refinance if you use Evergreen for a purchase between now and 3/31/2023 (see the video for details). Also, as always, what are mortgage rates doing and how did Dylan call the November rate peak?

November 2022 Mortgage Update

Learn about Evergreen Home Loan's 6 innovative products along with the usual - what are rates doing and turn times. Aka what is it going to cost me to borrow money and how quickly can you close my loan?