Hey there, Bruce Woodburn with CrossCountry Mortgage and it’s time for the three big things you need to know. I hope you find that my videos are informative to help you keep up to speed on what’s going on in the mortgage and real estate market. Whether you own a home or you’re looking for a home, it’s important that you understand exactly what the truth is when it comes to the market and here you get no fake news. So let’s get started right away.

1. Alright, let’s talk about what’s going on with interest rates right now. They are absolutely rising. So let me just put something in perspective for you so that you’re crystal clear on what’s driving interest rates up. First of all, where are interest rates right now? Well, interest rates on 30 year loans are definitely into the threes and sometimes even into the low fours, they’re probably going to get up a little bit more because there’s many factors. The Fed is tapering back on buying mortgage backed securities, the Fed is going to raise the Fed rate probably three times and inflation is crushing us right now. So all three of those factors are going to drive interest rates up. Now, the good news about that is I had one of the busiest months that I’ve had so far this month, that I’ve seen in a long, long time. So my new client inquiries and leads are up by about 30% this month. So that means people are jumping in because they know rates are going up. So don’t hesitate to get in there as well. Now, what’s another reason why interest rates are going up? Well, mortgage rates are tied to the bond market and when the bond yield deteriorates, then interest rates go up. Let me put this in perspective so it makes it really simple for you in a in a number format. For every 100 basis points that the market goes up or down when it comes to bonds, and in this case they’ve gone down, so the bond market goes down, interest rates go up. For every 100 basis points, it drops, It raises your cost of a loan by one point. So for every $100,000 it cost you $1000 if you’re getting a $500,000 mortgage. Every for every 100 basis points that we lost would cost you $5000 now. So you don’t have to pay five grand in fees to buy your rate down. You just increase the interest rate proportionately. So your interest rate would go up by about a quarter of a point to a half a point in that market. But we haven’t lost 100 basis points. We’ve lost 250 basis points. So that would be 2.5 points different in the last three weeks, three weeks, 2.5 points pretty substantial increase in interest rates. However, here’s the way I look at it. Interest rates are still great. They’re not bad at all there in the threes and fours. Are you going to wait until they hit the fives or sixes? Well that’s your choice. I think you should get in refinance now and or purchase now, don’t hesitate. I’m seeing some fence sitters still on the fence thinking that things are gonna get better. They’re not going to go down my friend, they’re gonna keep going up. I can assure you that there will be a time they’ll come down. Everything goes up, everything comes down. Right now we’re in a bias of non floating and interest rates are likely continuing to rise. It’s a high volatility market. Okay, enough about that. The next thing is what else do I have going on?
2. Well I’ve got two classes coming up. I’m teaching a class on home buying. Now you do not not have to be a first time Homebuyer. You know, anybody that wants to buy more real estate, invest in real estate or become a first time Homebuyer. Any of it qualifies. This is not a first time Homebuyer program. Now I only have 100 seats and there’s about 75/76 that are already taken. This will be a zoom class on January the 26 at 6PM. Anybody you know that’s renting, anybody that you know wants to gain wealth in real estate, get them to my class. I’ll show you how to do it. That’s a guarantee. Got about 30 seats left over for that. WeBringYouHome.com 6 p.m. January 26th. Okay, now the next thing is third thing is I’m holding a renovation class. So any realtors or clients that think they might want to renovate their home, they don’t want to go out and buy a new home, but they want to put an addition on or do some substantial upgrades to the home That’s gonna cost money. I’m gonna cover renovation loans with you. That’s gonna be Monday March 7th. I believe that’s going to be at 6pm. It might be at four. I haven’t ironed that out, but I am going to have a renovation specialist with CrossCountry Mortgage. Come and join me on a zoom class. So you can ask questions on the class as well. If you’re a realtor, you’ve got to get into this class. If you don’t know renovation loans inside and out, you should know them. You can do that on a purchase or a refinance.
3. And the last thing is a favor that I’m going to ask from you. I want you to pull out your cell phone right now and I want you to go to Bruce Woodburn, The Loan Arranger, Youtube channel. I want you to go to that, see my site on Youtube and subscribe to it now. Why do I want you to do this? It’s not going to spam you with a bunch of junk. It’s going to help raise me up in the ranks on my Youtube channel. And I’m trying to get higher and higher and higher because it gives me more views. I can reach more people and I can help just like you and your friends. So please send that to your friends and family. Have them subscribe. I would be absolutely grateful. Thank you very much. I hope you got something out of today’s three big things you need to know and don’t ever hesitate to call me if you have any questions and don’t forget to tune into my radio show on WDBO On 107.3 or 580 Talk to you soon. Have a great weekend.