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<p><br>You may have heard mortgage rates are going to stay a bit higher for longer than originally expected. And if you’re wondering why, the answer lies in the latest economic data. Here’s a quick overview of what’s happening with mortgage rates and what experts say is ahead.</p><p><strong>Economic Factors That Impact Mortgage Rates</strong><br><br>When it comes to mortgage rates, things like the job market, the pace of inflation, consumer spending, geopolitical uncertainty, and more all have an impact. Another factor at play is the Federal Reserve (the Fed) and its decisions on monetary policy. And that’s what you may be hearing a lot about right now. Here’s why.</p><p>The Fed decided to start raising the Federal Funds Rate to try to slow down the economy (and inflation) in early 2022. That rate impacts how much it costs banks to borrow money from each other. It doesn't determine mortgage rates, but mortgage rates do respond when this happens. And that’s when mortgage rates started to really climb.</p><p>And while there’s been a ton of headway seeing inflation come down since then, it still isn’t back to where the Fed wants it to be (2%). The graph below shows inflation since the spike in early 2022, and where we are now compared to their target rate:</p><figure id="figure-iz0lsoztlulvqzb8ur" class=""><img id="iz0lsoztlulvqzb8ur" src="https://cdn.durable.co/blocks/1fNp4JksPmWsZxzz5beI3R0daZuk9HClSjpptvtt8EeNFlNvrVMODbDACJNwNUpz.png" alt="white and grey concrete building near swimming pool under clear sky during daytime" title="white and grey concrete building near swimming pool under clear sky during daytime" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: 20% 20%;" data-corners="default" data-aspect="16:9" data-caption="" data-positionx="20%" data-positiony="20%" data-fullwidth="false" data-mce-src="https://cdn.durable.co/blocks/1fNp4JksPmWsZxzz5beI3R0daZuk9HClSjpptvtt8EeNFlNvrVMODbDACJNwNUpz.png" data-mce-style="aspect-ratio: 16/9; object-position: 20% 20%;"></figure><p>As the graph shows, we’re much closer to their goal of 2% inflation than we were in 2022 – but we’re not there yet. It's even inched up a hair over the last 3 months – and that’s having an impact on the Fed’s plans. As Sam Khater, Chief Economist at Freddie Mac, explains:</p><blockquote><p><em>Strong incoming economic and inflation data has caused the market to re-evaluate the path of monetary policy, leading to higher mortgage rates.</em></p></blockquote><p>Basically, long story short, inflation and its impact on the broader economy are going to be key moving forward. As Greg McBride, Chief Financial Analyst at Bankrate, says:</p><blockquote><h3><em>It’s the longer-term outlook for economic growth and inflation that have the greatest bearing on the level and direction of mortgage rates. Inflation, inflation, inflation — that’s really the hub on the wheel.</em></h3></blockquote><p><strong>When Will Mortgage Rates Come Down?</strong><br><br>Based on current market data, experts think inflation will be more under control and we still may see the Fed lower the Federal Funds Rate this year. It’ll just be later than originally expected. As Mike Fratantoni, Chief Economist at the Mortgage Bankers Association (MBA), said in response to the Federal Open Market Committee (FOMC) decision yesterday:</p><blockquote><p><em>The FOMC did not change the federal funds target at its May meeting, as incoming data regarding the strength of the economy and stubbornly high inflation have resulted in a shift in the timing of a first rate cut. We expect mortgage rates to drop later this year, but not as far or as fast as we previously had predicted.</em></p></blockquote><p>In the simplest sense, what this says is that mortgage rates should still come down later this year. But timing can shift as new employment and economic data come in, geopolitical uncertainty remains, and more. This is one of the reasons it’s usually not a good strategy to try to time the market. An article in Bankrate gives buyers this advice:</p><blockquote><p><em>&nbsp;. . . trying to time the market is generally a bad idea. If buying a house is the right move for you now, don’t stress about trends or economic outlooks.</em></p></blockquote><p><strong>Bottom Line</strong><br>If you have questions about what’s happening in the housing market and what that means for you, let’s connect.</p>

What Is Going on with Mortgage Rates?

<figure id="figure-k4cqustvilvqyla5c" data-full-width="" class="selected"><img id="k4cqustvilvqyla5c" src="https://cdn.durable.co/blocks/16qdMo5jcUemwBlC80TPLjFJFixrogX8y6Z7fWWH5pPouKH2V2S9xboeyUDrTezJ.png" alt="builders are building smaller homes" title="builders are building smaller homes" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: 0% 20%;" data-corners="default" data-aspect="16:9" data-caption="builders are building smaller homes" data-positionx="0%" data-positiony="20%" data-fullwidth="true" data-mce-src="https://cdn.durable.co/blocks/16qdMo5jcUemwBlC80TPLjFJFixrogX8y6Z7fWWH5pPouKH2V2S9xboeyUDrTezJ.png" data-mce-style="aspect-ratio: 16/9; object-position: 0% 20%;"><figcaption class="body-normal text-gray-500 mt-2">builders are building smaller homes</figcaption></figure><figure id="figure-vsufd3t61lvqyw5cb" data-full-width=""><img id="vsufd3t61lvqyw5cb" src="https://cdn.durable.co/blocks/1a1PMPKkPeVBkF5UsLVMTrZjRHqKuDQ72a2HHDUjrsgYKEwaCwAPunYhguQqHvGq.png" alt="average housing square foot by year" title="average housing square foot by year" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: 0% 80%;" data-corners="default" data-aspect="16:9" data-caption="average housing square foot by year" data-positionx="0%" data-positiony="80%" data-fullwidth="true" data-mce-src="https://cdn.durable.co/blocks/1a1PMPKkPeVBkF5UsLVMTrZjRHqKuDQ72a2HHDUjrsgYKEwaCwAPunYhguQqHvGq.png" data-mce-style="aspect-ratio: 16/9; object-position: 0% 80%;"><figcaption class="body-normal text-gray-500 mt-2">average housing square foot by year</figcaption></figure><figure id="figure-woj1lya5slvqyzsww" data-full-width=""><img id="woj1lya5slvqyzsww" src="https://cdn.durable.co/blocks/1ugwtxdLEyEUOzewvMvg5qAIxWwPExxbPVjKKi4qofYBI4WJCKayAKMxah73k7q9.png" alt="builders will build what's in demand" title="builders will build what's in demand" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: 0% 80%;" data-corners="default" data-aspect="16:9" data-caption="builders will build what's in demand" data-positionx="0%" data-positiony="80%" data-fullwidth="true" data-mce-src="https://cdn.durable.co/blocks/1ugwtxdLEyEUOzewvMvg5qAIxWwPExxbPVjKKi4qofYBI4WJCKayAKMxah73k7q9.png" data-mce-style="aspect-ratio: 16/9; object-position: 0% 80%;"><figcaption class="body-normal text-gray-500 mt-2">builders will build what's in demand</figcaption></figure><figure id="figure-datv6bezhlvqz26rg"data-full-width><img id="datv6bezhlvqz26rg" src="https://cdn.durable.co/blocks/1O3GBQ4z18id2RPLHN40chPOY16o2w3z6RnquJZ7pqAZFBZxP4BTlUqXVySgwQaN.png" alt="why these may help" title="why these may help" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: 0% 35%;" data-corners="default" data-aspect="16:9" data-caption="why these may help" data-positionX="0%" data-positionY="35%" data-fullWidth="true"/><figcaption class="body-normal text-gray-500 mt-2">why these may help</figcaption></figure><p><br></p>

Builders Building Smaller

<p>Choosing the right mortgage lender is a crucial step in the home buying process. With so many options available, it can be overwhelming to decide which lender is the best fit for your financial needs. Here are some key factors to consider when selecting a mortgage lender:</p><h2>Research and Compare</h2><p>Before committing to a mortgage lender, it's essential to research and compare different options. Look at interest rates, loan terms, fees, and customer reviews to get a comprehensive view of each lender's offerings.</p><h3>Loan Options</h3><p>Consider the types of loans that each lender offers. Some lenders may specialize in conventional loans, while others may have expertise in FHA or VA loans. Choose a lender that provides the type of loan that aligns with your financial goals.</p><figure id="figure-c9frdu0akelvdwxq9j" class=""><img id="c9frdu0akelvdwxq9j" src="https://cdn.durable.co/blocks/5mh0J7pAwg115TF5GErFcvz8E2kT4IPZeVDppLhwaDPFzktTY5MFjVdddyGa73jN.jpg" alt="real estate terms" title="real estate terms" class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 1/1; object-position: 50% 30%;" data-corners="default" data-aspect="1:1" data-caption="" data-positionx="50%" data-positiony="30%" data-fullwidth="false" data-mce-src="https://cdn.durable.co/blocks/5mh0J7pAwg115TF5GErFcvz8E2kT4IPZeVDppLhwaDPFzktTY5MFjVdddyGa73jN.jpg" data-mce-style="aspect-ratio: 1/1; object-position: 50% 30%;"></figure><h3>Pre-Approval Process</h3><p>Getting pre-approved for a mortgage is an important step before house hunting. Evaluate how efficient and thorough each lender's pre-approval process is. A smooth pre-approval process can make a significant difference in your home buying journey.</p><h3>Interest Rates</h3><p>Compare interest rates from different lenders to ensure you're getting the best deal. Even a slight difference in interest rates can have a significant impact on your monthly mortgage payments and overall loan cost.</p><figure id="figure-awcy1obkaalvdwxq9j"><img id="awcy1obkaalvdwxq9j" src="https://images.unsplash.com/photo-1618044733300-9472054094ee?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxpbnRlcmVzdCUyMHJhdGVzfGVufDB8fHx8MTcxMzk2OTA3OXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="interest rates" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1618044733300-9472054094ee?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxpbnRlcmVzdCUyMHJhdGVzfGVufDB8fHx8MTcxMzk2OTA3OXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h3>Loan Fees</h3><p>Take into account the various fees associated with obtaining a mortgage, such as origination fees, application fees, and closing costs. Factor in these fees when comparing lenders to determine the total cost of your loan.</p><h3>Accessibility</h3><p>Consider the accessibility of each lender, especially if you prefer in-person interactions. Some lenders operate solely online, while others have physical branches where you can meet with loan officers face-to-face. Choose a lender whose accessibility aligns with your preferences.</p><figure id="figure-p11rdxuymllvqka4qh"><img id="p11rdxuymllvqka4qh" src="https://cdn.durable.co/shutterstock/25YHmXY7xrGwdUvHTrHafWgITLNVxohamOw7Pe8lzP9Zonc9qr7REaoorKAyKDtj.jpeg" alt="Business negotiations, discuss working tasks. Lady manager tries to organize working process with colleagues in office. Office atmosphere concept. Business colleagues at meeting, office background." title="Business negotiations, discuss working tasks. Lady manager tries to organize working process with colleagues in office. Office atmosphere concept. Business colleagues at meeting, office background." class="object-cover bg-gray-100 rounded-sm md:rounded-md lg:rounded-lg" style="aspect-ratio: 16/9; object-position: center center;" data-corners="default" data-aspect="16:9" data-caption="" data-positionx="undefined" data-positiony="undefined" data-fullwidth="false" data-mce-src="https://cdn.durable.co/shutterstock/25YHmXY7xrGwdUvHTrHafWgITLNVxohamOw7Pe8lzP9Zonc9qr7REaoorKAyKDtj.jpeg" data-mce-style="aspect-ratio: 16/9; object-position: center center;"></figure><h3>Flexibility</h3><p>Look for a lender that offers flexibility in terms of loan options and repayment terms. A lender that is willing to customize a loan to suit your specific needs can make the borrowing process more tailored to your financial situation.</p><p>By carefully considering these factors, you can choose the right mortgage lender that meets your needs and helps you achieve your homeownership goals.</p>

How to Choose the Right Mortgage Lender

<p>When it comes to selling your home, first impressions are crucial. Home staging is a key element in showcasing your property in the best light possible and attracting potential buyers. Here are 10 home staging tips to help you sell your home faster:</p><h2>1. Declutter and Depersonalize</h2><p>Clear out personal items and excess clutter to make your home look more spacious and inviting. Buyers want to envision themselves living in the space, so keep it neutral and tidy.</p><figure id="figure-vxlpc3n46blv3x1beo"><img id="vxlpc3n46blv3x1beo" src="https://images.unsplash.com/photo-1634983703570-24ef5321adf9?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxkZWNsdXR0ZXIlMjBkZXBlcnNvbmFsaXplfGVufDB8fHx8MTcxMzM2NDU4NXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="declutter depersonalize" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1634983703570-24ef5321adf9?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxkZWNsdXR0ZXIlMjBkZXBlcnNvbmFsaXplfGVufDB8fHx8MTcxMzM2NDU4NXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h2>2. Maximize Curb Appeal</h2><p>The exterior of your home is the first thing buyers will see. Make sure the lawn is mowed, the landscaping is well-maintained, and the entryway is welcoming. Consider adding some potted plants or a fresh coat of paint to boost curb appeal.</p><h2>3. Lighten Up</h2><p>Open up curtains and blinds to let in natural light. Bright, well-lit rooms appear larger and more inviting. Consider adding lamps or overhead lighting in darker areas to create a warm ambiance.</p><figure id="figure-66ttck4rslv3x1beo"><img id="66ttck4rslv3x1beo" src="https://images.unsplash.com/photo-1508251755193-d2e9caa5de02?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxsaWdodGVuJTIwdXB8ZW58MHx8fHwxNzEzMzY0NTg1fDA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="lighten up" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1508251755193-d2e9caa5de02?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxsaWdodGVuJTIwdXB8ZW58MHx8fHwxNzEzMzY0NTg1fDA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h2>4. Rearrange Furniture</h2><p>Arrange furniture in a way that maximizes space and flow. Create conversational areas and highlight the focal points of each room. Avoid blocking natural pathways and ensure furniture is appropriately sized for the room.</p><h2>5. Neutralize Colors</h2><p>Neutral paint colors appeal to a wider range of buyers and make rooms feel fresh and clean. Consider repainting bold or outdated colors with soft, neutral tones to create a blank canvas for buyers to imagine their own style.</p><figure id="figure-gfm4bt4qlv3x1beo"><img id="gfm4bt4qlv3x1beo" src="https://images.unsplash.com/photo-1559032195-42b455e61dfe?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxuZXV0cmFsJTIwY29sb3JzfGVufDB8fHx8MTcxMzM2NDU4NXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="neutral colors" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1559032195-42b455e61dfe?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxuZXV0cmFsJTIwY29sb3JzfGVufDB8fHx8MTcxMzM2NDU4NXww&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h2>6. Highlight Key Features</h2><p>Showcase the best features of your home, whether it's a fireplace, built-in shelving, or a stunning view. Use strategic staging to draw attention to these focal points and create a memorable impression on potential buyers.</p><h2>7. Add Fresh Touches</h2><p>Incorporate fresh flowers, plants, or subtle scents to create a welcoming atmosphere. Small details like a bowl of fruit on the kitchen counter or a vase of flowers on the dining table can add warmth and charm to your home.</p><figure id="figure-eyzsuqkoglv3x1beo"><img id="eyzsuqkoglv3x1beo" src="https://images.unsplash.com/photo-1541868426-7d7f4be265b2?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxmcmVzaCUyMHRvdWNoZXN8ZW58MHx8fHwxNzEzMzY0NTg1fDA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="fresh touches" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1541868426-7d7f4be265b2?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxmcmVzaCUyMHRvdWNoZXN8ZW58MHx8fHwxNzEzMzY0NTg1fDA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h2>8. Define Spaces</h2><p>If you have an open floor plan, define different areas with rugs, furniture groupings, or lighting. Clearly delineating living, dining, and workspaces helps buyers visualize how they would use the space.</p><h2>9. Make Repairs</h2><p>Address any minor repairs or maintenance issues before listing your home. Fix leaky faucets, squeaky doors, and peeling paint. A well-maintained home signals to buyers that the property has been cared for.</p><figure id="figure-q3rm659nzlv3x1beo"><img id="q3rm659nzlv3x1beo" src="https://images.unsplash.com/photo-1585201731775-0597e1be4bfb?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxtYWtlJTIwcmVwYWlyc3xlbnwwfHx8fDE3MTMzNjQ1ODV8MA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" alt="make repairs" class="object-cover bg-gray-100" style="aspect-ratio: 16/9;" data-mce-src="https://images.unsplash.com/photo-1585201731775-0597e1be4bfb?crop=entropy&amp;cs=tinysrgb&amp;fit=max&amp;fm=jpg&amp;ixid=M3wyNjI5NjF8MHwxfHNlYXJjaHwxfHxtYWtlJTIwcmVwYWlyc3xlbnwwfHx8fDE3MTMzNjQ1ODV8MA&amp;ixlib=rb-4.0.3&amp;q=80&amp;w=1080" data-mce-style="aspect-ratio: 16/9;"></figure><h2>10. Create a Welcoming Atmosphere</h2><p>Lastly, focus on creating a warm and inviting atmosphere throughout your home. Play soft background music, set out fresh towels in the bathroom, and consider baking cookies before a showing to evoke a sense of comfort and hospitality.</p><p>By following these home staging tips, you can enhance the appeal of your property and increase your chances of selling your home faster. Remember, first impressions matter, so make sure your home is staged to impress!</p><p>```</p>

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What Is Going on with Mortgage Rates?

Builders Building Smaller

How to Choose the Right Mortgage Lender

10 Home Staging Tips to Sell Your Home Faster