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(English) What The Crystal Ball Says About Rates

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6 comentarios
  1. Dewey Linville
    Dewey Linville Dice:

    Right on !!
    We have a lot of people in our society that do not understand that higher rates are not necessarily bad. That FREE is not always the best option. That because it is your house doesn’t make it higher priced than your neighbor. That not everyone with a real estate license has the same level of «commission breath».
    Please continue to clear the fog. Hopefully buyers, sellers and realtors will see.

  2. Dirk Walker
    Dirk Walker Dice:

    While I agree with your spot on analysis, there is an underlying Catch-22 to also consider. With all the inflation causing stimulus there are at least two significant possible fallouts to higher mortgage rates:
    1. A spike in interest rates is likely to choke off borrowing, hence less homebuying despite a «stronger» economy. This would halt recovery, especially in real estate.
    2. A spike in rates is going to halt any «move up buyers» especially the ones who were smart enough to refinance below 4.5%. The cost increase will be prohibitive.

    Higher rates, sooner than later, are certainly going to help curb commodity inflation, but there is no indication that real estate prices will inflate any time soon. That problem will just be compounded by higher rates.

  3. Whit Wall
    Whit Wall Dice:

    Good article. Good comments and thoughts from the peanut gallery. I am curious as to the phrase: «That not everyone with a real estate license has the same level of “commission breath” (from Dewey Linville). I’m an agent/broker and have never heard that before. Having been in the business for over three decades (yeah, I’m gettin’ old…just turned 60) that’s a new one to me. Can you or Dewey «clear the fog» on that one?! Just curious as much as anything and want to be sure I use the right mouthwash if «commission breath» is a bad thing. Maybe it’s similar to «income breath»? TGIF
    Whit Wall

  4. SarahGray Lamm
    SarahGray Lamm Dice:

    Let me help you with that Whit! From the Urban dictionary:
    Verbal behavior of always being in a selling mode.
    «Jim is always trying to sell you something. He scares people away with his commission breath.»
    I’d never heard it either but it’s descriptive. Folks are always amazed when they ask one of us Realtors for advice and we actually tell them something OTHER than what they expect to hear. I would say the right mouthwash might be in order! ;-)


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