We are pleased to have our guest author, Laura Sosa-Rocha Witte share her thoughts on the current Feds rate cut and what that means for buyers, sellers and you!
You may have heard of the Feds rate cut tomorrow and Friday. We are monitoring the market and recommending our clients lock in this week and take advantage of this. We are near record historical lows and there is little certainty in any world market right now, not sure how much lower that rates can go!
With that being said, after about 3 weeks of little market movement, we are about to be in for some potential market turbulence. Who can predict if we need to get our umbrellas or sunglasses is anyone’s guess! All expectations lead to a .25% interest rate cut by the Fed on July 31st.
There are 3 possibilities could really put us in for some fireworks: A larger cut of .50%, no change in rates, and any verbiage that forecasts the Feds position on future cuts this year. We have had several strong home sales reports and June was not an exception. It was the first month since February 2018 that the increase was positive compared to the previous year. This exceeded most industry expectations.
In closing the combination of a near record stock market, increased job growths, steady home price appreciation, and really low mortgage rates all point to a good time for buyers and sellers – Everyone wins!
Laura Sosa-Rocha Witte
VP, Mortgage Banking
Truth and Lending Team, NMLS# 193027
P: 404-456-8291 | F: 470-440-9477