In order to keep members of our tribe up-to-date on current trends and updates in the real estate world, we’ve compiled key developments from reputable sources. These will be biweekly updates to keep you informed and keep your investing toolkit sharp. Be sure to follow our blog so you don’t miss an update. Without further ado, see below for the inaugural edition of The Five.
In a nutshell:
Mortgage rates have risen slightly and you have more options at your fingertips than just the 30-year fixed mortgage. Marketing yourself is a key to success as an investor so make sure to keep up with an emerging platform—Clubhouse. And while we’re fully experiencing a seller’s market, use staging to make your property more attractive to prospective buyers. Keep reading for insights into these topics and more.
Have you heard of Clubhouse? It is a new social media platform that has exploded in popularity and is receiving a lot of buzz. It is also a potential opportunity for real estate investors. You can use Clubhouse to connect with other investors and to learn. It’s also a way to build your personal brand. And, unlike other major platforms, it’s only voice-based so you don’t have to put a lot of effort into set-up and production.
Mortgage Rates Rise but Stay near Historic Lows (REALTOR Magazine)
Last month, the 30-year fixed-rate mortgage reached a record low at 2.65%. In February, for the week ending on the 25th, rather than continue its decline, mortgage rates are back up to 2.97%. At this same time last year, the rate stood at 3.45%. This significant gap tells a story in itself as the low rates we have seen have motivated rapid home buying activity across the country. While interest rates may continue to climb slightly, they are expected to stay close to the 3% ballpark.
2020 brought many challenges to businesses as organizations were forced to survive short-term perils without losing sight of the long-term. Given the unpredictability that the pandemic causes, senior leadership became more focused on day-to-day operations. On the flip side, flexibility and the ability to pivot have been cited as benefits gained through the market conditions we’ve experienced. Leaders have sought to reestablish trust across the company, recognize the needs of individual employees, stress the importance of teamwork, and remind customers and clients that the company is committed to their success. While many challenges still remain before we get out of this, by creating clear processes that withstand disruption, communicating a vision with confidence, and having an openness to adjust previous approaches, your business will be on good footing to thrive during difficult times.
3 Underrated Mortgage Products to Consider (HousingWire)
The 30-year mortgage gets all of the limelight and for good reason—it’s the most popular option out there and interest rates have seen record lows lately. However, if you are interested in purchasing a home or refinancing, you should consider other options too. Based on your needs and your situation, a different type of mortgage may be a better choice for you. USDA loans, 15-year mortgages, and streamline refinances are discussed, along with the benefits they provide.
We are in the midst of a seller’s market which means intense competition and bidding wars. Despite the market, like in many areas in life, first impressions make a significant impact. To put your best foot forward, make sure to stage your home prior to putting it on the market. This will serve you well as staged homes sell 73% faster than empty homes. You’ll also likely get more interest as staged homes directly impact the quality of the photos you post. When judging a listing, 85% of buyers say that the photos are the most important factor they consider in deciding whether or not to tour a home. At the end of the line, you’ll be able to increase your sales price so the effort will pay off for you. It all makes sense as a staged home helps the buyer envision how the home would look if they were in it. That’s a more difficult order for an empty home.
In an effort to expand your network, checking out an emerging social media platform could yield benefits. And after the year unlike any other, keeping an eye on mortgage rates will impact your investing decisions. We have these real estate articles to share for the MyHouseDeals tribe to keep you all updated. Let us know what your thoughts are on these topics!
Stay safe, stay healthy, and happy (and profitable) investing!