Hey, it’s Bruce Woodburn with CrossCountry mortgage. It is Friday May 7th, and these are the three big things you need to know. I’m always committed to making sure my client’s real estate agents and builder partners are always completely up to speed on mortgage trends and real estate trends so that we can be better servants to you, the clientele as well. It’s also important that you’re completely aware of different trends, obstacles and opportunities that may come about so that you can make wise decisions when investing in real estate. So here’s a couple of things that are going on in the market.

1. Interest rates are still remaining steady. They’re still historically low of course, they’re not as low as they were late last year and earlier this year, but they’re still extremely attractive. I think they’re unbelievable. So you can still get interest rates as low as in the high twos on a 30 year fixed rate if your credit scores are very very high on a conventional loan. And you can still get FHA loans in the mid threes if you’ve got good credit. So that’s the first thing. The second thing is you don’t have to have good credit to get in the market. I don’t ever want somebody thinking that they should wait to get into the market because they’re not perfectly aligned, you’re never perfect. Okay let’s just face it, you’re not perfect, none of us are. But let’s just say you’re like, oh my God, I don’t want to pay 3.75% interest rate and pay PMI because you know my scores are only 620 or 580. But I do have enough money to get in and I can do it. But you put it off, so here’s what that does for you. I’m going to just put it in perspective, let’s say that we go back a year in time and the average house was $252,000 and you got an FHA loan with 3.5% down. If you bought that house this time last year for $252,000, you made almost $50 grand. Now you can refinance, you had enough time to get your credit fixed, you can refinance, get rid of the PMI, completely lower your interest rate and you got $50,000 in equity. Now if you are able to save in your 401K $50 grand, well then you’re doing better than I am. You’re doing better than most Americans. But most of us can’t do that. The wealth in this country is made in real estate. You’re not going to be a famous movie star, you’re not going to be a famous rock star, you’re not going to be a famous country singer, you’re not going to be a famous race car driver, even though that was my aspiration, okay, you’re not going to do all these things, it’s not likely going to happen, but you are gonna make a lot of money in real estate. And if you follow my steps on my leapfrog program, I’ll show you how to amass wealth in real estate and have other people put money in your bank account.
2. That’s the second big thing you need to know, help more people become homeowners. If you’re an adult parent listening to this and you have adult Children or grandchildren, then let’s help them together become homeowners. They’re missing out on an amazing opportunity right now. This is a lifetime opportunity. We’re in a huge growth mode and houses are getting harder and harder for the first time home buyer to get into. So let’s help them together.
3. Third big thing you need to know what’s going on with appraisals. So here’s your frustration as a Homebuyer today. You’re frustrated because you made 15 offers on 15 houses, but there was 15 other people wanting the same house at the same time and they were coming in and making offers over purchase price above what they know is going to be the appraised value, waving appraisal contingencies, waving home inspection contingencies all to get the house. And so they paid $10 to $15,000 more than the house would even appraise for and had to come up with the difference and it seems ludicrous. But here’s the thing. In two months, the house is now worth what they overpaid for it and they’re even in six months, they already have an equity position in a year and they made a bunch of money. Don’t cut off your nose to spite your face. My mom used to tell me that don’t step over a dollar to pick up a penny. My boss used to tell me that. It makes sense. Real estate is the key. If you think that houses are gonna crash, you think the market’s going to crash, I want you to go back to 1950s when the average house was $52,000 and people thought they were over paying. It’s the same thing, it’s the same deal. It’s just different zeros on the end. Let’s help you get into houses. There’s great First time Homebuyer Programs there’s 3% down conventional, there’s 3.5% down. FHA, there’s 100% VA, there’s 100% USDA. I’m going to talk about that in a different segment. If you listen to my show, I’m going to be interviewing a young adult that got into the market, then got into the mortgage business, closed on his first house, looking at his second house, he’s 23 years old. I want you to help more people that are in their twenties become homeowners. Millennials are lagging way behind right now, lagging behind their previous generations. We can make that up right now by generational wealth building. Let me help you get into the market. I’m Bruce Woodburn with CrossCountry Mortgage, The Loan Arranger. I’m super excited to hear from all of you. Let’s help more Americans become homeowners. See you next week.