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6 May, 2025

– Staging can increase a home’s selling price by up to 5% and decrease time on market by 33% (National Association of REALTORS®).
– 82% of buyers’ agents say staging makes it easier for buyers to visualize the property as their future home (NAR).
– Decluttering is a top priority; aim to remove 75% of personal items.
– Neutral paint colors appeal to the broadest range of buyers; consider light grays, beiges, or whites.
– Deep cleaning is essential; pay attention to kitchens and bathrooms.
– Curb appeal significantly impacts first impressions; mow the lawn, trim shrubs, and add flowers.
– Lighting is crucial; maximize natural light and supplement with lamps.
– Highlight key features and upgrades; showcase remodeled kitchens or updated bathrooms.
– Consider professional photography to capture the home’s best angles.
– Disclose any known issues upfront to build trust.

6 May, 2025

This is the month of the MBA’s National Secondary in Manhattan. For some trivia, the nickname “The Big Apple” originated in the 1920s in reference to the prizes (or “big apples”) rewarded at the many racing courses in and around New York City. However, it wasn’t officially adopted as the city’s nickname until 1971 as the result of a successful ad campaign… So ads do matter. Mark Zuckerberg thinks that ads will soon all be generated by AI. Not so with legal issues, right? Not so fast: In the UK, Garfield is offering basic legal work that is AI generated. Will AI generate actions for humans to follow? “Rob, did the CFPB send out a memo outlining its priorities going forward?” Yes, it did, unfortunately through the former Twitter: X. Here’s the memo. Things like supervisory exams will drop by 50 percent because they’re expensive, a shift in attention to depository institutions and away from non-depository companies. And a focus on actual fraud against consumers. (Today’s podcast can be found here and this week’s are sponsored by HomeEQ, the fully digital HELOC from Arc Home, which empowers brokers to quickly provide borrowers with easy access to their home equity. Brokers can benefit from competitive compensation, along with comprehensive training and a complete marketing plan designed to help them re-engage former clients and grow their business. Hear an Interview with Vesta’s Mike Yu on hype versus reality when it comes to AI tech in mortgage, and how companies can vet technology vendors.)

5 May, 2025

* **Refinancing Rate Impact:** Even a 0.5% interest rate reduction can save homeowners significant money over the life of the loan.
* **Break-Even Point:** Crucial to calculate how long it takes for savings to offset refinancing costs (appraisal, origination fees, etc.). Common break-even periods are 2-3 years.
* **Cash-Out Refinance:** Allows homeowners to borrow against their equity, often for debt consolidation or home improvements; increasing the loan balance.
* **Rate and Term Refinance:** Aims to secure a lower interest rate, shorter loan term, or both, without increasing the loan amount significantly.
* **Debt Consolidation:** Using a refinance to combine high-interest debts (credit cards) into a single, lower-interest mortgage payment.
* **Loan Types:** Consider fixed-rate vs. adjustable-rate mortgages (ARMs) based on financial goals and risk tolerance.
* **Credit Score Impact:** A higher credit score generally results in better refinance rates. Monitor your credit report before applying.
* **LTV Considerations:** Lower loan-to-value (LTV) ratios (more equity) often lead to more favorable refinance terms.
* **Refinance Fees:** Can range from 3-6% of the loan amount.
* **Market Volatility:** Interest rates are influenced by economic factors; timing the refinance can be critical.

5 May, 2025

Today celebrates Mexico’s victory over France in the Battle of Puebla on May 5, 1862. (In this country, Hispanic home ownership rates continue toward 10 million, which includes, of course, Mexicans. In Mexico itself, mortgage rates are north of 10 percent and homeownership is less than 60 percent.) Returning to the note about today, it was a relatively minor battle (and the French reclaimed Puebla a year later) but a symbolic one because a small Mexican army defeated a larger occupying force. By 1867, Mexican troops had driven France from the country. Cinco de Mayo is not Mexico’s Independence Day (September 16) which commemorates the Grito de Dolores, a priest’s ringing of a church bell in the town of Dolores in 1810 that triggered Mexico’s War of Independence from Spain. Mexico is just one of twenty Hispanic countries, and lenders know that the rise in overall Hispanic home ownership in recent years played out in first-time home buyer numbers and many have “diversity” departments that encompass many lending facets including minority homeownership. Viva la Raza! (Today’s podcast can be found here and this week’s are sponsored by HomeEQ, the fully digital HELOC from Arc Home, which empowers brokers to quickly provide borrowers with easy access to their home equity. Brokers can benefit from competitive compensation, along with comprehensive training and a complete marketing plan designed to help them re-engage former clients and grow their business. Hear an interview with TD Bank’s Scott Lindner on how to better educate potential homebuyers on financial readiness and engender loyalty that will lead to repeat business.)

4 May, 2025

Florida remains a top destination for vacation home buyers. High demand, driven by warm weather and tourism, leads to potential rental income opportunities. Popular locations include coastal areas like Miami, Naples, and the Panhandle. Median sale price for single-family homes statewide in January 2024 was $410,000 (Florida Realtors). Interest rates and insurance costs are significant considerations. Property taxes in Florida are generally lower than in many other states, but can vary by county. Short-term rental regulations vary significantly by municipality and HOA, impacting profitability.

3 May, 2025

Florida’s real estate market is currently experiencing a mix of factors impacting buyer decisions.

* **Inventory:** Housing supply remains tight in many areas, though some markets are seeing inventory gains compared to the pandemic lows.
* **Home Prices:** Price appreciation has slowed significantly after record gains in recent years, with some areas experiencing price corrections or stabilization. Certain areas are still seeing year-over-year increases.
* **Interest Rates:** Mortgage rates have increased substantially, impacting affordability and buyer demand. Higher rates reduce purchasing power.
* **Sales Volume:** Sales volume has decreased compared to the previous year, indicating a cooling market.
* **Migration:** Florida continues to experience population growth, particularly from domestic migration, which supports underlying housing demand despite market adjustments.
* **Days on Market:** Homes are staying on the market longer than they were in recent years, providing buyers with more negotiation power.
* **Foreclosure Rate:** The foreclosure rate is below national averages, showing a relatively strong housing market.
* **Rental Market:** Rental prices have also seen slowdowns after record increases, offering potential alternatives for those priced out of homeownership.

2 May, 2025

Homes that are staged sell for an average of 1-5% more than non-staged homes (Real Estate Staging Association). Staged homes typically spend 73% less time on the market. According to the National Association of Realtors (NAR), 82% of buyers’ agents said staging made it easier for a buyer to visualize the property as a future home. The most important rooms to stage, according to buyers’ agents, are the living room (93%), master bedroom (86%), and kitchen (84%). Staging can cost between $2,000 – $6,000 for a professionally staged home in Florida. Sellers can expect an ROI of 5-15% on their staging investment. Decluttering and depersonalizing are critical first steps in staging. Neutral color palettes and maximizing natural light are often recommended for Florida homes.

2 May, 2025

Fortunately for the readers of this Commentary, we don’t receive federal funding, so it won’t be cut… Unlike groups like NPR and PBS which the Trump Administration call “biased.” Most media have advertising as a source of funding, and speaking of ads, Mark Zuckerberg says ads will soon be handled entirely by AI. Doubt it. But for those interested in lending and artificial intelligence, “artificial” being the key word, here is a story about how high rates and low volumes are accelerating the Rise of AI-Enabled Mortgage Lenders. But technology isn’t going away, and is often a topic on today’s Last Word at 10AM PT, Brian Vieaux, Kevin Peranio, and Robbie Chrisman explore the impact of recent economic news and falling mortgage rates on the housing and lending markets. They’ll also reflect on key takeaways from the 109th tech-heavy TMBA Annual Conference and preview what’s ahead in the busy spring conference season. (Today’s podcast can be found here and this week is sponsored by CreditXpert, the credit optimization platform that helps today’s top mortgage originators and more than 60,000 mortgage professionals qualify more applicants, make more competitive offers, reduce LLPA premiums and close more loans. Hear an interview with Realfinity’s Kipper Bush on how embedded finance can empower real estate professionals with seamless mortgage solutions at the point of sale.) Software, Products, and Services for Lenders and Brokers Leading Lenders: Risk, Reward, and Reinvention dives into how industry leaders are embracing change, overcoming challenges, and driving innovation in today’s market. Produced by HousingWire in partnership with Polly, this exclusive docuseries showcases the people and platforms changing how pricing, automation, and strategy intersect. Each episode takes you inside a different lending organization to share their unique perspective on the industry and how they are raising the bar. Episode 1 features Kristin Ankeny Bickenbach of New American Funding, sharing how the company is leveraging strategic technology and automation to empower their loan officers and lead in a tightening mortgage landscape. NAF has redefined how loan officers engage with crucial parts of the mortgage process, including the lock desk, secondary marketing, and customer service. From intuitive pricing systems to high-touch lock desk support, NAF’s strategy prioritizes speed, accuracy, and adaptability while staying rooted in its people-first values. View episode!

2 May, 2025

Florida closing costs average 2-5% of the purchase price. Key cost drivers include lender fees (origination, appraisal, credit report), title-related expenses (title insurance, search, recording fees), and government taxes/fees (transfer taxes, documentary stamp taxes). Negotiating lender fees, comparing title insurance rates, and understanding regional variations (some counties have higher transfer taxes) are potential savings strategies. Selecting a closing date strategically, potentially aiming for the end of a month or quarter, can sometimes lead to lower costs. Florida’s documentary stamp tax is typically paid by the buyer on the mortgage amount. The seller usually pays for title insurance and documentary stamp tax on the deed, but this can be negotiated.

1 May, 2025

Bonds Brace For More Data-Driven Volatility

Today’s ISM Manufacturing data played the role of coalmine canary today, and although it’s not the most vigorous canary anyone’s ever seen, it also wasn’t dead. That wasn’t good for bonds today as ISM is viewed as a good early indicator at times when the market is waiting for a certain shoe to drop (in this case, tariff/policy/uncertainty impact on econ data). ISM is also often heavily traded due to its proximity to the big jobs report (in this case, the following morning). If nothing else, the market’s willingness to react to economic data once again is fully confirmed.

Econ Data / Events

Jobless Claims

241k vs 224k f’cast, 223k prev

Continued Claims

1916k vs 1860k f’cast, 1833k prev

ISM Manufacturing PMI

48.7 vs 48.0 f’cast

ISM Prices Paid

69.8 vs 70.3 f’cast, 69.4 prev

Market Movement Recap

08:33 AM MBS up just over an eighth and 10yr yields are down 3.5bps at 4.126 after claims data.

10:23 AM weaker after ISM.  MBS down 2 ticks (.06) and 10yr up 3.6bps at 4.196

12:27 PM MBS now down 6 ticks (.19) and 10yr up 6.7 bps at 4.227.

02:30 PM MBS now down a quarter point and 10yr up 7.7bps at 4.238