September 26, 2025
Rate Cuts in Question as Strong GDP, Metro Market Rebounds, and Application Trends Collide
This week’s headlines underscore a shifting narrative around rate cuts in the mortgage and housing market. A surprising upward revision to Q2 GDP growth complicates expectations for further Federal Reserve easing. Meanwhile, several metro areas may experience housing boosts if rates dip—even slightly. On the ground, August brought a small but welcome decline in average mortgage application payments, highlighting how sensitive the market remains to affordability shifts. If you’re a mortgage or real estate professional, understanding how these threads tie into the rate cuts conversation is key to staying ahead.
US Q2 GDP Revised Sharply Upwards, Clouding Case for More Fed Rate Cuts
Read the Full Story → MPA
The U.S. economy grew faster than previously reported in Q2—up 3.8 % annually—fueling speculation that the Federal Reserve may hold off on further rate cuts. The revision was largely due to stronger-than-expected consumer spending and a shrinking trade gap.
This economic strength throws cold water on hopes for near-term monetary easing. With inflation still sticky in places, the Fed may choose to pause or move more cautiously with rate cuts into 2026.
For mortgage professionals, this makes a strong case for preparing clients for a “higher for longer” environment, even if smaller rate dips still emerge.
Several Metro Areas Poised to Benefit as Mortgage Rates Drop
Read the Full Story → FOX
Metros like Washington, D.C., Denver, Virginia Beach, and Raleigh could see a noticeable bump in housing activity with any meaningful rate cuts, according to Realtor.com data. These markets have high concentrations of mortgage-holding homeowners.
As mortgage rates dip into the low-6 % range, buyer interest in these areas could rise sharply. The local dynamics amplify how even modest rate cuts could influence real estate behavior.
Conversely, cities with more paid-off homes, such as Buffalo and Miami, may respond less to falling rates. For agents and LOs, market-specific messaging is key.
Mortgage Application Payments Decreased in August
Read the Full Story → MBA
The Mortgage Bankers Association reported a slight decrease in average monthly payments for new mortgage applications in August. This is partly due to lower loan amounts and rate shifts.
Despite the small decline in costs, overall application activity remains modest, suggesting that many buyers are still hesitant—possibly waiting for deeper rate cuts or more inventory.
Still, this dip is a positive sign. It may indicate that affordability is stabilizing for some segments, especially first-time buyers or those looking to refinance.
Loan Officer Perspective
Rate volatility and economic strength create a complex backdrop—but also an opportunity. Be proactive with pre-approvals, especially in metros likely to benefit most from even slight rate cuts.
Use this period to educate clients on scenarios. If rate cuts don’t materialize soon, can they afford to wait? If rates tick down slightly, are they ready to act?
Refinance opportunities, particularly cash-outs and ARM resets, also deserve renewed attention. With payment relief showing up in the data, some clients may be more open to creative financing paths.
Real Estate Agent Perspective
Buyers in metro-heavy markets like Raleigh or D.C. may be closer to moving forward than they appear. Focus your outreach on explaining how small rate cuts can create meaningful affordability shifts.
Position listings accordingly—especially where buyers are rate-sensitive. For sellers, timing a listing around market optimism tied to rate cuts may improve outcomes.
Don’t forget quieter markets. Even without large waves of rate-driven buyers, local insights and strategic pricing can still win.
Home Buyer & Seller Perspective
Buyers, keep an eye on rates but don’t wait forever. If your payment goals are within reach now, don’t delay hoping for bigger rate cuts that may not arrive soon.
Sellers, if your local market is mortgage-heavy, even a small rate drop could boost buyer traffic. That’s a great window to list with confidence.
Want to explore your timing or affordability options? Contact the real estate agent or loan officer who shared this blog—they can help you act smarter in a shifting market.
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September 25, 2025
New Home Sales Surge, Mortgage Applications Increase & Rent Growth Slows
New Home Sales surged dramatically in August, defying expectations and turning heads across the housing industry. With a 20.5% jump in new construction purchases, the market is signaling a possible shift as builder incentives begin to pay off. This week’s headlines also include a major guest appearance on LOBC Live, fresh data showing a rise in mortgage applications, and signs of slowing rent growth in the single-family space. For mortgage and real estate professionals, this is a pivotal moment to refocus on new builds, rate trends, and how market psychology is shifting as we head into Q4.
New Home Sales Post Unexpected Large Gain in August
Read the Full Story → NAHB
Sales of newly built single-family homes jumped 20.5% in August to a seasonally adjusted annual rate of 800,000 units, per the U.S. Census Bureau and HUD. Year-over-year, that marks a 15.4% increase. Though year-to-date sales are still slightly below 2024 levels, this spike is catching attention.
The number of new homes for sale dropped slightly to 490,000 units, representing a 7.4-month supply at the current sales pace. Builders are actively using incentives to move inventory, with 66% offering sales incentives and 37% cutting prices.
Builder sentiment remains cautious, but this rebound suggests their aggressive pricing and marketing strategies may be working. Still, analysts caution that this data series is volatile and subject to revision.
LOBC Live Today: Owen Lee Brings Insider Insight.
Join the Live Call → LOBC
The Loan Officer Breakfast Club will feature a powerful industry voice today: Owen Lee, MBA’s 2025 Vice Chairman nominee. Lee brings deep insight into mortgage banking policy and leadership, having served on numerous MBA committees and initiatives.
He co-chairs the MBA’s Independent Mortgage Bankers Executive Council and plays a key role in shaping policy and advocacy for the mortgage industry. Lee’s nomination to the MBA Vice Chair role signals broad respect and recognition from peers nationwide.
You can catch his live industry update on the free LOBC coaching Zoom call, Today, from 8:30AM to 9:00AM ET at breakfastclubzoom.com. Don’t miss this opportunity to get the pulse of the market from a key insider.
Mortgage Applications Increased in Latest MBA Weekly Survey
Read the Full Story → MBA
Mortgage applications rose 29.7% for the week ending September 12, driven largely by a surge in refinance activity, which jumped 58%. Purchase applications saw a modest 3% gain.
The average 30-year fixed mortgage rate dipped to 6.39%, the lowest level in nearly a year. That drop helped motivate homeowners to refinance and gave prospective buyers a little more breathing room.
The uptick in activity suggests borrowers are highly rate-sensitive and ready to act when the market moves in their favor, even slightly.
Single-Family Rent Growth Is Starting to Show New Weakness
Read the Full Story → CNBC
The single-family rental market is seeing softening rent growth, with July numbers up just 2.3% year-over-year compared to 3.1% a year earlier. This marks a slowdown from pandemic highs and reflects affordability fatigue among renters.
Demand remains, but tenants are pushing back on escalating rents. This could signal a shift in leverage back to renters or foreshadow more rental-to-owner migration.
The moderation in rents might also ease inflationary pressures and could help the Fed maintain or cut rates if the trend continues.
Loan Officer Perspective
New Home Sales are back on the move, and that’s good news for originators who work the new home market. Builders are still offering incentives, giving smart loan officers opportunities to partner with small to mid-sized home builders. Partnering with agents and builders to package incentives with loan options can be a winning strategy.
Owen Lee’s upcoming LOBC appearance is a must-attend. He has the pulse on industry trends, regulation, and market forces. His insights could help guide your Q4 game plan.
Also, don’t ignore the refinance bump. As soon as rates move, borrowers react. Be proactive with past clients and ready to reengage those who waited out higher rates.
Real Estate Agent Perspective
The resurgence in New Home Sales means agents should take a fresh look at new construction partnerships. Inventory is slimming down a bit, but incentives are still alive and well—and buyers love options.
With Owen Lee speaking this week, it’s a chance to get industry insights directly from the top. This kind of access helps you better advise your clients and anticipate policy shifts.
Rent growth slowing could mean more renters look to buy. Make sure your outreach includes rental households who may now be closer to being ready—and able—to buy.
Home Buyer & Seller Perspective
If you’re a buyer, now is a good time to explore new construction. Builders are offering deals, rates have dipped, and the market is active. You might find more flexibility and value than in the resale market.
Sellers, take note: new builds are back in demand, so your pricing and presentation need to compete. Understand what’s happening locally and work with your agent to position your home smartly.
If you’re considering buying or selling, reach out to the mortgage or real estate professional who shared this post with you. The landscape is shifting, and a quick chat could uncover a great opportunity.
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September 24, 2025
Fannie Sees Sub 6% Rates Ahead: Fixer-Uppers Rise and Realtors Push Back
Fannie Mae’s latest forecast suggests we could see sub 6% mortgage rates by the end of 2026—a potential game changer for buyers, sellers, and the professionals who serve them. Meanwhile, homebuyers are increasingly hunting for fixer-uppers to stretch their dollars in a high-cost housing market. And on the legal front, a new antitrust lawsuit alleges the National Association of Realtors (NAR) has been unfairly burdening agents. This week’s stories show a real estate landscape in motion, filled with opportunity, disruption, and changing consumer behavior—all revolving around the potential of sub 6% rates.
Fannie Mae Eyes Sub 6% Mortgage Rates in 2026
Read the Full Story → Scotsman Guide
Fannie Mae now predicts that 30-year mortgage rates could dip below 6% by late 2026, an update from their earlier estimate of 6.4%. This shift reflects expectations of slowing inflation and softer economic growth.
They’ve also revised their existing-home sales forecast slightly downward, projecting 4.72 million units for 2025 and 5.16 million in 2026. Even as rates decline, affordability challenges and tight inventory will continue to play a role.
The agency expects GDP growth of 1.5% in 2025 and 2.1% in 2026, with inflation trending toward the Fed’s 2% goal. If realized, sub 6% rates could reignite demand and reshape buyer behavior in a big way.
Fixer-Uppers Gain Ground as Homebuyers Turn to Sweat Equity
Read the Full Story → Scotsman Guide
Listings labeled as “fixer-upper” are pulling in 52% more online views compared to similar homes without that tag. In today’s pricey market, buyers are turning to sweat equity as a path to homeownership.
The median list price for a fixer-upper in July 2025 was $200,000—less than half the national average. But there are risks: profit margins for flippers are down, and renovation costs remain high.
Still, inventory in this segment is up nearly 19% from 2021, suggesting opportunity for those who know how to navigate it. Lenders, agents, and buyers can all win if they play this niche right.
LOBC Live 8:30AM Eastern
Join the Call → breakfastclubzoom.com
We’ve got a killer session lined up for today’s LOBC Live Zoom Call from 8:30 to 9:00 AM ET—featuring two heavy hitters who crushed it last month: Marty Guy Fink and Melissa Rishel. These top producers didn’t just have good months—they topped their companies. And now, they’re pulling back the curtain to share what’s working right now.
We’ll dive into their daily systems, lead sources, mindset shifts, and exactly how they’re winning business in today’s market. No fluff—just real, practical insights from the field. Think of it as 30 minutes of rocket fuel for your morning.
Whether you’re a seasoned pro or building momentum, this call is pure gold. It’s free, fast, and sharp. Bring your coffee, your questions, and your notepad. Just hit breakfastclubzoom.com
NAR Has ‘Bled Realtors Dry,’ New Antitrust Suit Alleges
Read the Full Story → Real Estate News
A new lawsuit accuses the National Association of Realtors (NAR) and its affiliates of anti-competitive practices. The plaintiff, a Maryland broker, claims NAR forces agents to pay multiple dues and limits MLS access.
The suit seeks damages and reforms, arguing that these practices hinder competition, raise costs, and stifle business growth. The pressure is mounting on NAR, which is already under scrutiny for other industry practices.
If successful, the suit could lead to major structural changes in how MLS access is granted and how dues are assessed—potentially lowering costs for agents and brokers.
Loan Officer Perspective
If sub 6% mortgage rates are truly on the horizon, now’s the time to prep buyers who are sitting on the fence. Get your pre-approval pipelines ready and consider marketing strategies that anticipate renewed interest.
The fixer-upper trend is also a huge opportunity. Renovation loans, 203(k)s, and other creative financing options can help borrowers fund both the purchase and the updates—making LOs a key part of the value chain.
Finally, stay informed on regulatory issues. If the NAR suit results in cost shifts or MLS changes, it could impact how real estate partners operate—so collaborative LOs will stand out.
Real Estate Agent Perspective
Sub 6% rates would make a massive difference in buyer activity. Start prepping now: nurture leads, create targeted content, and have strategies in place for when buyers jump back in.
Fixer-uppers are a gold mine for creative agents. Know the renovation process, build contractor partnerships, and highlight potential—not just problems. You can unlock value for budget-conscious buyers.
The NAR lawsuit is worth watching. It could lead to reduced fees or simplified access across regions. That might mean leaner operations and broader market reach in the long run.
Home Buyer & Seller Perspective
For buyers: Sub 6% rates would improve your purchasing power, but you don’t have to wait. Exploring fixer-uppers now could save you big—just make sure you understand the risks and the renovation process.
For sellers: A home needing work might be more marketable than you think. Highlighting it as a fixer-upper could attract buyers looking for a deal—and willing to do the work.
Questions about rates, renovation loans, or what these changes mean for your plans? Talk to the loan officer or agent who shared this post with you. They’re ready to help you get started.
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September 23, 2025
Weak Jobs, Trade Demand, and Falling Birth Rates: Housing’s Subtle Shift
This week’s news uncovers the quieter trends shaping the housing industry. The weak jobs outlook, highlighted by Jerome Powell, especially among Gen Z, is now paired with unexpected optimism from the NAHB, which reports a surge in demand for skilled trades. Meanwhile, Realtor.com reports that declining birth rates—linked to home unaffordability—could reshape long-term housing demand. When taken together, these stories speak to deeper changes in who’s buying homes, who’s working on them, and how affordability will influence family and housing decisions.
Jerome Powell Warns About Weak Job Prospects for Younger Workers
Read the Full Story → Yahoo Finance
Federal Reserve Chair Jerome Powell isn’t mincing words: while unemployment rates remain low on paper, the labor market is tightening in all the wrong places. Specifically, weak jobs growth is being felt most by entry-level candidates, including recent college grads.
This cooling effect isn’t just anecdotal. Economists note that firms are pulling back on adding new, inexperienced talent. And as AI tools become more commonplace, lower-tier roles are increasingly being replaced or deemed unnecessary.
The bottom line: while the jobs picture isn’t collapsing, it’s uneven. And for young buyers trying to enter the housing market, weak job security may now be a bigger obstacle than interest rates.
Today on LOBC LIVE – 8:30am to 9:00am ET
Join Today’s Live Call Here → LOBC Live
LOBC Live is your daily boost of mortgage coaching—completely free and always relevant. This daily Zoom session runs Monday through Friday from 8:30AM to 9:00AM ET and is designed to keep loan pros sharp, focused, and growing.
Today’s featured guest is Credit Coach Jeanne Kelly, known for her appearances on The Today Show, CNN, and more. Jeanne will dive into Vantage Score 4.0 and share insights on what she’s seeing right now in consumer credit.
She’ll also reveal what’s surprisingly working well for her clients—and how mortgage pros can benefit from those strategies. Click the “Live Streaming Image” below to join, or hop straight into the call by visiting BreakfastClubZoom.com.
NAHB Spotlights Trades With Strong Demand and Rising Wages
Read the Full Story → NAHB
In contrast to the Fed’s outlook, the National Association of Home Builders (NAHB) is highlighting where the opportunities are. Their latest piece lists nine associate-level construction jobs with growing demand and rising salaries.
These roles—like carpentry, HVAC, plumbing, and welding—don’t require a four-year degree but are seeing a surge in job postings and wage increases. As of June 2025, over 246,000 construction jobs were open nationwide.
NAHB is essentially saying: there are plenty of jobs—just not always the kind being tracked in the traditional white-collar labor data. In this way, trade careers are bucking the trend of weak jobs.
Fewer Babies, Higher Prices: Housing Is a Barrier to Family Planning
Read the Full Story → Realtor.com
The U.S. birth rate fell again in 2024, reaching just 1.6 children per woman—well below replacement levels. Realtor.com connects this to housing affordability: younger families are delaying or forgoing children because they can’t afford homes large enough for growing families.
Many would-be parents are also battling weak jobs or uncertain incomes. Paired with rising home prices, the cost of raising a child in 2025 is becoming prohibitive for many households.
Demographic shifts like this matter. Fewer babies means slower population growth, which eventually softens housing demand. It also may mean smaller homes will become more popular, even in suburban areas.
Loan Officer Perspective
This is a moment to lean into education. Help younger borrowers—especially Gen Z—understand their loan options even with uncertain job prospects. FHA, VA, and other supportive programs may be more relevant than ever.
Those in the trades may represent an increasingly reliable borrower class. Steady job demand and wage growth in construction means a segment of buyers with improving income potential.
Stay up to date on demographic shifts. Fewer children may influence the types of homes people want to buy—this could be a chance to promote more compact, affordable financing solutions.
Real Estate Agent Perspective
First-time buyers may be feeling discouraged, but this is where real estate professionals shine: guiding buyers toward homes that match their reality, not their wish list.
Agents should also understand the upswing in skilled trades. These clients might have better income stability right now and could be looking for homes near job sites or renovation opportunities.
Long-term, shrinking family sizes could mean rising interest in smaller homes, ADUs, and condos. Agents who understand this trend will have a leg up when it comes to future-proofing their business.
Home Buyer & Seller Perspective
If you’re a buyer—especially a younger one—know that weak jobs don’t mean “no hope.” There are still smart pathways into homeownership, especially if you’re in a field like construction or trades.
Sellers should understand that affordability is top-of-mind for many buyers. Homes that are reasonably priced, modest in size, and located near job centers will likely move faster in this environment.
Have questions about how this market affects you? Reach out to the mortgage or real estate professional who shared this post—they’re here to help you sort out your options.
Frank’s Thoughts
According to Powell and others, there aren’t many jobs out there—but the NAHB seems to think otherwise. Their list of high-demand trade roles is a refreshing reminder that the labor market isn’t one-size-fits-all.
Realtor.com’s piece adds another twist: if we’re not making as many new people, eventually, we’ll need fewer homes. That could reshape how we all think about growth in the industry.
Kind of a slow news day overall, but still a good reminder that subtle shifts in labor, affordability, and demographics can ripple through housing in powerful ways. Let’s see what tomorrow brings.
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September 22, 2025
Zillow Lawsuit, Secure 2.0, and FHA Condo Push: Big Shifts in Real Estate
This week’s mortgage and housing news brings into focus a growing theme: legal and regulatory shake-ups with major implications. The headline is the new Zillow lawsuit, a class-action case that accuses the listing giant of deceptive agent practices tied to its Flex program. At the same time, updates from the Secure 2.0 Act offer new implications for retirement-age homeowners navigating housing decisions. And finally, industry advocates are calling on the FHA to expand access to condo financing in line with Fannie and Freddie. If you’re in real estate, it’s a good week to pay attention.
Class-Action Zillow Lawsuit Alleges Agent Deception
Read the Full Story → The Seattle Times
A new Zillow lawsuit filed in Washington claims the platform misleads homebuyers through its “Flex” agent program. The suit argues that when consumers click “Contact Agent” on a Zillow listing, they’re routed to agents who pay Zillow a referral fee, not to the actual listing agent as many assume.
The lawsuit says these agents often give up nearly 40% of their commission to Zillow in exchange for leads—fees that aren’t disclosed upfront to buyers or sellers. The plaintiffs argue this setup reduces buyer leverage, inflates transaction costs, and lacks necessary transparency.
If this Zillow lawsuit succeeds or gains momentum, it could lead to stricter disclosure requirements across the industry, not just for Zillow. Either way, it’s another spotlight on agent transparency and compensation models.
Secure 2.0 Act Brings Homeowner Implications
Read the Full Story → Realtor.com
The Secure 2.0 Act has introduced retirement changes that go beyond 401(k)s. It includes adjustments to Required Minimum Distributions (RMDs), catch-up contributions, and tax incentives—all of which intersect with homeownership and retirement planning.
For aging homeowners, changes to withdrawal timelines and penalty rules could affect cash flow, property tax planning, or even when to downsize. More flexibility in accessing retirement funds might offer opportunities to better align home and financial goals.
It’s a law that will roll out in phases, so homeowners—especially retirees—should speak with advisors about how Secure 2.0 might shape their housing decisions.
Advocacy Groups Push for Expanded FHA Condo Access
Read the Full Story → Scotsman Guide
Industry advocates are urging the FHA to allow loans on condo units already approved by Fannie Mae and Freddie Mac, even if they don’t meet the FHA’s stricter criteria. The current approval process shuts out many otherwise viable condos from FHA financing.
With condos being more affordable than single-family homes in many areas, expanding FHA access could help more first-time and low- to moderate-income buyers get into the market. This is especially crucial in high-cost metros.
The proposed change would align FHA policy more closely with the GSEs, potentially unlocking a new wave of condo inventory for FHA-backed buyers.
Loan Officer Perspective
The Zillow lawsuit reminds us that transparency is critical—and being upfront with clients about who’s getting paid and how can build long-term trust. As more borrowers become aware of referral structures, proactive explanation can be a major value-add.
Secure 2.0 is a unique opportunity to help older clients think holistically about their finances and home strategy. And if FHA expands its condo policy, loan officers will be key in guiding buyers through new financing options as more units become eligible.
Real Estate Agent Perspective
Real estate pros not working with platforms like Zillow Flex may find this Zillow lawsuit is a great way to differentiate themselves as local and fully transparent. It’s a chance to showcase trust and clarity.
Agents should also keep an eye on Secure 2.0—not just for their own planning, but for clients asking financial questions. A little understanding goes a long way.
And when it comes to condos, now’s the time to check whether your favorite buildings are FHA-eligible. If changes happen, you’ll want to move fast with buyers ready to jump.
Home Buyer & Seller Perspective
For buyers, the Zillow lawsuit is a reminder to always ask: Who is this agent? Are they affiliated with the listing? Who’s paying who? More transparency means fewer surprises and better decisions.
Retirees should look into Secure 2.0’s changes. If you’re selling, moving, or downsizing, these rules may affect your timeline and tax planning.
If you’re looking at condos, you may soon have more FHA options. That could open up inventory and improve affordability. Questions about these topics? Contact the loan officer or agent who shared this post—they can help clarify what these changes mean for you.
Frank’s Thoughts
Seems like real estate is the go-to industry for class-action lawsuits lately. If you’re not getting sued, are you even in the game? All jokes aside, these suits tend to follow where the money flows—and there’s a lot of it in referral systems.
Honestly, I find it hard to believe most buyers didn’t know the agent they were talking to wasn’t the listing agent. That said, when trust is lost in any part of the process, people start calling lawyers. The industry should take note.
Still, it’s a bit much. Someone should file a class-action lawsuit against law firms—for filing too many class-action lawsuits. But seriously, we all need to keep ahead of these changes, because they’re coming fast and they will reshape the way we do business.
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September 19, 2025
Fed Rate Cut, Housing Inventory & New Construction with Tristan Ahumada
The LOBC News Podcast launches with a timely discussion featuring Tristan Ahumada, founder of Lab Coat Agents and A Brilliant Tribe. In this episode, we break down the September 17, 2025 Fed Rate Cut and what it means for mortgage professionals, real estate agents, and consumers alike. While many expected relief, the market reaction has been anything but simple, making it essential to understand the broader implications.
Beyond the Fed Rate Cut, Tristan and I dive into the challenges of housing inventory and affordability that continue to shape today’s market. With limited supply and rising demand, buyers and sellers are navigating an increasingly competitive landscape. Tristan shares his perspective on how these factors are impacting real estate professionals on the ground and what to watch for as we head into the final months of 2025.
We also take a look at new construction, which is becoming a critical piece of the puzzle as affordability challenges persist. Tristan, who reports daily on industry news across Instagram and other platforms, offers valuable insight into how builders are responding to market pressures and what that could mean for buyers in 2026. If you want to stay connected to Tristan’s daily updates, you can follow him here: Tristan Ahumada on Instagram
Looking for a lending partner who can move fast and deliver? Park Place Finance specializes in Construction, Fix & Flip, DSCR, and Bridge loans. As a true no tax return private capital lender, their process is fast, easy, and designed to keep your deals moving without unnecessary red tape.
Whether you’re a builder, investor, or mortgage professional, Park Place Finance offers competitive programs that help you close more deals and serve your clients better. Connect with them today at workwithparkplace.com and see how simple private capital lending can be.
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September 18, 2025
Rate Cut Sparks Market Questions: Sellers Pull Back as Luxury Homes Make Headlines
The long-awaited rate cut is here. This week, the Federal Reserve issued its first rate cut of 2025, finally lowering the federal funds rate after holding steady for months. However, mortgage professionals weren’t shocked when mortgage rates didn’t follow the script—in fact, they ticked up slightly, prompting a “Lock Alert” from MBS Highway. Zillow’s latest data shows sellers pulling back and price reductions rising, potentially hinting at a shift toward a new seller’s market in early 2026. And in luxury news, a historic Tudor mansion hits the market, showing that unique properties continue to defy broader market trends.
Fed Announces First Rate Cut of 2025
Read the Full Story → MPA
After holding rates steady since late 2024, the Federal Reserve has finally made a move, cutting the benchmark rate by 25 basis points to a range of 4.00% to 4.25%. The decision comes amid signs of a cooling labor market and inflation that remains above target but has moderated.
While the Fed’s decision typically signals potential relief for mortgage borrowers, rates actually bumped up slightly after the announcement. This reaction prompted a “Lock Alert” from MBS Highway, reminding professionals that mortgage rates often respond more to bond market activity than Fed headlines.
The Fed’s own projections suggest more cuts may be on the horizon, but the central bank remains cautious. One member even pushed for a larger cut now, citing the need to stay ahead of economic slowdown. For now, professionals are watching closely as the market digests this first move.
Zillow Data Shows Sellers Retreating
Read the Full Story → Zillow Research
Zillow’s August 2025 Market Report shows that more than 27% of active listings had price cuts—the highest rate since they began tracking in 2018. At the same time, homes are taking longer to sell, and inventory is increasing as new listings slow and some sellers pull their homes entirely.
Realtor.com data backs this up with a year-over-year spike in delistings of over 57%, pointing to a growing trend of seller hesitation. Many homeowners appear to be testing the market only to back out when they don’t get the offers they hoped for.
The mix of higher inventory and retreating sellers suggests the market could be brewing a new kind of seller’s market—especially if mortgage rates ease and buyer demand returns in 2026. But for now, many buyers are holding back, watching both rates and inventory carefully.
Bausch & Lomb Heiress Lists Tudor Mansion
Read the Full Story → Realtor.com
A piece of Rochester history is up for grabs as the former home of a Bausch & Lomb heiress hits the market. The Tudor-style estate, known as “Twin Gables,” spans over 9,300 square feet and combines vintage charm with thoughtful updates.
Listed at $3.4 million, the home features original woodwork, intricate brick details, and spacious grounds. It’s the kind of luxury listing that tells a story—something unique-home buyers crave, even in shifting markets.
While this listing might not reflect national trends, it’s a reminder that high-end homes with character often march to the beat of their own drum. For the right buyer, this one’s a gem.
Loan Officer Perspective
Loan officers should view the rate cut as both a market update and a client conversation starter. Even though mortgage rates didn’t drop as some consumers hoped, this is an opportunity to educate clients on why that happens and what to expect going forward. The “Lock Alert” proves how nuanced rate movements can be.
As more sellers reduce prices or leave the market, buyers may find better opportunities—if they’re ready. A well-timed lock or float decision could make a big difference. Lean into your advisory role now and be ready with tools like MBS Highway to guide your borrowers confidently.
Also, don’t sleep on unique homes. High-end buyers may still be active, especially when rates improve. Having a pulse on these listings can help you stand out.
Real Estate Agent Perspective
Agents, this is a key moment to revisit pricing strategies with sellers. As Zillow reports more price cuts and delistings, setting the right list price from the start is crucial. Educate your clients early to prevent frustration later.
For buyers, the shifting inventory offers more choice and potential leverage. It may not feel like a buyer’s market yet, but we’re seeing more balance—especially in markets where inventory is rising faster than sales.
Unique homes like the Tudor mansion remind us that storytelling sells. Luxury buyers want a narrative, not just a floor plan. If you’re listing a standout property, make sure the marketing lives up to the home.
Home Buyer & Seller Perspective
Buyers may have heard about the Fed’s rate cut and expected big savings, only to learn that mortgage rates didn’t move as hoped. That’s normal—mortgage rates often lag behind. The good news? Most forecasts still expect rates to improve through 2025 and into 2026.
If you’re considering buying, this could be a window to prepare—especially with price reductions increasing and sellers growing more flexible. Sellers, meanwhile, need to be realistic: price it right, stage it well, and move fast before more competition returns.
Not sure what your next move should be? Reach out to the loan officer or real estate agent who shared this post with you—they’ll help you game-plan your next step.
Frank’s Thoughts
Even though the Fed finally cut rates, mortgage rates didn’t play along—and that’s no surprise for those of us in the trenches. Clients will call, texts will fly, but it’s just part of the ride. Our job is to help them understand the difference between headlines and real-life loan pricing.
I think we’re still on track for more meaningful mortgage rate improvements by the end of the year and into 2026. That, coupled with sellers pulling back, could tighten up supply and create a whole new seller’s market early next year.
And that mansion? Man, I might dump some crypto and make my way to Rochester! It’s a great example of how luxury properties can still steal the show—especially when they’ve got style, history, and solid value. Somebody’s gonna scoop that one up fast.
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September 17, 2025
Mortgage Rates, Millennial Momentum & Builder Confidence: Signs of a Busy 2026?
Mortgage rates continue to shape the outlook across housing and lending sectors, and the latest updates point to growing optimism. Builder confidence is holding steady while future sales expectations are rising. Mortgage applications for new homes show year-over-year gains. Millennials remain a key engine of market activity, and talk of a Fed rate cut has everyone asking what’s next for borrowing costs. While there’s always headline noise, a deeper read suggests business momentum is quietly building. For loan officers, real estate agents, and buyers alike, the signs are pointing to a potentially strong 2026.
Builder Confidence Steady but Future Sales Expectations Hit Six‑Month High
Read the Full Story → NAHB
Builder sentiment in September remained at 32, unchanged from August, according to the NAHB/Wells Fargo Housing Market Index. That keeps confidence in the same narrow band it’s been in for months—but importantly, it’s not slipping.
Even more telling: expectations for future sales climbed two points to 45, reaching their highest level since March. Builders are clearly more hopeful about what’s ahead, particularly as mortgage rates have dipped in recent weeks.
The average 30-year fixed rate has eased by about 23 basis points, helping prospective buyers. Builders are also sweetening deals through incentives and limited price cuts—signs they’re motivated and expecting activity to pick up.
August New Home Purchase Mortgage Applications Increased 1.0 Percent
Read the Full Story → MBA
New home mortgage applications rose 1% year-over-year in August, according to the MBA’s Builder Application Survey. Although activity dipped slightly month-over-month, the annual uptick is a positive sign for fall.
MBA estimates that 730,000 new single-family homes were sold in August on a seasonally adjusted basis, up from 685,000 in July. These aren’t boom numbers, but they show buyers haven’t disappeared.
With builder inventory increasing, the trend may improve affordability and offer buyers more negotiating power. That’s a helpful combo, especially as many still battle rising costs and limited resale supply.
Millennials Still Driving Big Share of Mortgage Inquiries Despite Affordability Challenges
Read the Full Story → MPA
Millennials still account for a massive share of mortgage inquiries—around 50% across major metro areas—despite continued affordability struggles. Their share is slightly down from last year, but still dominant.
In metros like San Jose, Seattle, and San Francisco, millennial demand is particularly high. On the flip side, markets like Louisville and Tampa are seeing some declines, but the generational appetite to buy hasn’t faded.
Millennials bring a digital-first mindset and are highly payment-conscious, making them receptive to tech-forward lenders and smart planning tools. Their behavior sets the tone for future market engagement.
A Fed Rate Cut Is Imminent. But Will It Lower Mortgage Rates?
Read the Full Story → Scotsman Guide
Economists expect the Fed to deliver a 25-basis-point rate cut soon, but its impact on mortgage rates is murky. That’s because mortgage rates are driven more by Treasury yields and inflation expectations than the Fed’s short-term rate alone.
Some experts argue that markets have already priced in the rate cut, meaning we may not see much movement in mortgage rates unless other macro factors shift. In fact, uncertainty around inflation, deficits, and global trade could keep mortgage rates sticky.
Still, the potential for a lower-rate environment is welcome news—and even if the drop is modest, sentiment tends to improve when the Fed eases.
Loan Officer Perspective
The mix of steady builder confidence, solid millennial demand, and expected Fed action is a great conversation starter with your pipeline. It’s the kind of news that reassures hesitant buyers that opportunity still exists—and that rates may not spike. This is a smart time to follow up with fence-sitters and get creative with product solutions that match today’s market.
Real Estate Agent Perspective
With builder sentiment improving and inventory loosening, agents should start planning for a more competitive 2026. Partner with lenders who can support millennial buyers—especially those focused on tech-savvy solutions and affordability education. Staying ahead of Fed developments can help you guide your clients through rate conversations with confidence.
Home Buyer & Seller Perspective
While headlines can feel overwhelming, the truth is: more inventory is coming, rates are easing a bit, and lenders are staying flexible. If you’re thinking about buying or selling, this is a good time to gather your options and make a plan. Talk to the loan officer or real estate agent who shared this blog with you to explore next steps. They can help you navigate the current trends and position yourself for success.
Frank’s Thoughts
Mortgage and real estate news has been on a real positive streak lately. Sure, you’ll still find the occasional “crash is coming” article, but those don’t tell the whole story. We’re seeing real momentum—especially if you look past the headlines.
When you dig into the details, builders are feeling better, buyers are engaging, and the millennial generation is still very much in the game. That’s a solid foundation heading into 2026.
I think loan officers, Realtors, and consumers all have reason to be encouraged. Keep putting in the work now, because it looks like a wave of business is heading our way.
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September 16, 2025
$90 Billion and Growing: Construction Financing Demand Surges in 2025
Construction financing is seeing renewed demand in 2025, with loan volume rising for the first time in two years. Other significant stories this week include how rent payments are increasingly being used to build credit, and an eye‑catching property in Oregon making waves for its unique graffiti art. The focus keyword: construction financing, as we explore what’s happening in lending, credit, and the real estate scene.
Construction Loan Demand Surges Nationally
New data shows that 1‑to‑4 family residential construction loan volume rose for the first time in two years during the first quarter of 2025. According to FDIC‑reported figures cited by Eye On Housing, outstanding construction and land development loans in this category reached $90.0 billion, up slightly (0.6%) from the previous quarter despite being down compared to a year before.
Justin Hubbert, President of Park Place Finance, says the firm has felt that upward shift. “We’re seeing significantly more demand for construction financing this year, which mirrors what the national data are showing,” Hubbert said. “Many banks have pulled back in construction lending in key markets, which opens the door for lenders who can move quickly. Our process is streamlined to help construction loans reach the finish line much faster.”
For loan officers and realtors, the growth in construction financing reflects a broader market. Builders and investors are turning to new projects to meet affordability demands. With traditional banks scaling back, alternative lending sources are playing a larger role in keeping these projects funded and moving forward.
If you or your clients need fast, reliable construction loan options, reach out to Justin Hubbert’s team via workwithparkplace.com.
Using Rent Payments to Boost Credit Scores
A new piece from CNBC highlights that many Americans pay rent on time each month, yet their rent payments are not reported to credit bureaus—and thus don’t help build credit. Reporting rent payments, however, can boost credit scores for those who participate.
Credit reporting systems like FICO 9 and FICO 10 now allow rent payments (when reported) to be included in credit history. This gives renters—especially those with thin or no credit files—an opportunity to demonstrate a pattern of on‑time payments. It’s an incremental but potentially impactful lever for improving creditworthiness.
That said, participation depends on landlords, reporting services, and whether the lender or credit model considers these data points. Not all institutions use FICO 9/10; many still rely on older score versions that ignore rent history.
Read the Full Story → CNBC
Oregon Graffiti House: Uniqueness Selling Fast
A Salem, Oregon home filled with bold graffiti art is proving hugely popular among buyers. What started as a quirky, artistic property has become a hot ticket: multiple offers are already flooding in.
The house blends street art and residential architecture in a way that breaks the mold. It’s a reminder that aesthetic uniqueness and bold design statements can transcend conventional buyer expectations—and in certain markets, even enhance value.
Potential buyers in such cases are drawn not just to square footage or neighborhood, but to story, character, and visual intrigue. Features like art installations or unconventional style can become key selling points—especially in markets where inventory is otherwise similar.
Read the Full Story → Realtor.com
Frank’s Thoughts
I’ve been getting more and more calls about construction financing lately. Just this weekend, a small builder reached out needing $10 million for a multifamily project. He was ready to go and didn’t want to deal with his bank’s delays and red tape.
Last week, a past client contacted me about funding for two lots he picked up in Southern California. These kinds of projects are popping up more often—and they’re ready for action now. It’s clear that construction financing isn’t just bouncing back—it’s opening real doors for real people.
And that Oregon house? I had to include it. It’s just too cool. A perfect example of how personality and story can turn a property into something unforgettable.
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September 15, 2025
Fed Rate Cut, Crypto Mortgages, Malibu Luxury & Housing Hotspots
This week’s biggest stories in mortgage and real estate news highlight a shifting tide: a potential Fed Rate Cut could unlock over $20,000 in savings for homebuyers, while cryptocurrency creeps further into the mortgage world. Meanwhile, a $21 million Malibu estate hits the auction block, and a staggering one-third of the nation’s $55 trillion housing wealth is concentrated in just nine cities. These themes remind us that market movement is coming—and fast. Mortgage pros, agents, and consumers alike should be ready to act.
Fed Rate Cut Could Unlock Over $20K in Savings for Homebuyers
Read the Full Story → MPAMAG
A new analysis by HomeAbroad and Ziffy.ai found that a potential Fed Rate Cut from 6.29% to 6.00% could save homebuyers over $20,000 across a 30-year mortgage. For many, 6% is a psychological milestone that may re-energize buyer demand.
The biggest winners? Buyers in high-cost markets like Nantucket and Vineyard Haven, MA, where lifetime savings could exceed $200,000. Even in more affordable metros like Canton, IL, the average buyer could save around $4,800. The impact varies significantly across regions, with the West seeing the greatest monthly savings.
Lower rates would also ease income requirements, potentially unlocking homeownership for more middle-income earners. And with just 11% of Americans relocating in 2024—one of the lowest rates in recent history—the market is primed for a revival if the Fed Rate Cut materializes.
Malibu Vineyard Estate Heads to Auction With a $21 Million Reserve
Read the Full Story → Realtor.com
A Tuscan-style estate in Malibu with 5 acres of working vineyards is now on the auction block for $21 million. The nearly 38-acre estate is home to Malibu Rocky Oaks wine and includes a 7,665-square-foot home with five bedrooms, dramatic windows, and luxe amenities like an infinity-edge pool.
Originally purchased for $3.5 million in 2005, the estate was once listed at $43 million. It’s now being auctioned by Paramount Realty USA. Due to local zoning laws preventing new wineries, the property’s value is also tied to its rarity.
While the brand isn’t included in the sale, the vineyard, irrigation systems, and iconic views are. With its fire-resistant design and breathtaking architecture, it stands as one of Malibu’s most unique luxury opportunities.
Nine Cities Hold One-Third of $55 Trillion U.S. Housing Value
Read the Full Story → Scotsman Guide
According to Zillow, just nine U.S. metro areas hold more than one-third of the nation’s $55 trillion housing value. These include major hubs like New York, Los Angeles, San Francisco, Washington, D.C., Boston, Seattle, San Diego, Chicago, and Miami.
Shifting dynamics post-pandemic have changed where gains and losses are happening. Smaller markets now play a larger role in value increases, especially as affordability and inventory pressures reshape buying patterns.
The Midwest and Northeast are emerging as price gain leaders, while Sun Belt boomtowns like Phoenix and Nashville see price corrections. With investor activity high and inventory slowly building, even a modest Fed Rate Cut could reheat the market quickly.
How Crypto Is Creeping Into the Mortgage Market
Read the Full Story → Sherwood
Thanks to regulatory changes and new products, cryptocurrency is gaining legitimacy in mortgage underwriting. A major move came when the FHFA directed Fannie Mae and Freddie Mac to explore crypto as a reserve asset.
Companies like Milo and Figure are already issuing crypto-backed mortgages and HELOCs. For crypto holders, this offers a chance to leverage their digital assets without triggering taxable events. However, experts warn of volatility and risk.
With Gen Z and Millennials already tapping crypto for down payments, the door is opening wider. But questions remain about whether this will drive broader access or simply benefit wealthier crypto investors looking for tax advantages.
Loan Officer Perspective
Loan officers, the message here is clear: be ready. A Fed Rate Cut could trigger a wave of qualified buyers even if it’s just perception for buyers and sellers. Now is the time to reconnect with pre-approved clients, update affordability estimates, and educate your network about crypto and alternative financing tools.
Use stories like the Malibu estate to spark interest—luxury markets move quickly when rates fall. And stay informed on new underwriting options, especially as crypto-backed tools inch toward the mainstream.
Real Estate Agent Perspective
Agents, opportunity is knocking. Inventory is growing, prices are softening in key areas, and buyers are watching rates closely. This is the time to sharpen your market insights, especially in the nine high-value cities and emerging Midwestern hubs.
Even high-end properties like Malibu’s vineyard estate could attract renewed interest as liquidity returns (everybody loves looking at amazing homes). Stay flexible and ready to educate clients on how to act fast if a Fed Rate Cut becomes reality.
Home Buyer & Seller Perspective
If you’ve been waiting for the right moment, it’s almost here. A Fed Rate Cut could mean thousands in savings, and new tools like crypto-backed mortgages may open doors you didn’t know were available.
Whether you’re buying your first home or selling in a shifting market, talk to the loan officer or real estate pro who shared this post. They can help you make sense of what’s next—and how to move when the time is right.
Frank’s Thoughts
Let’s hope the Fed Rate Cut keeps heading our way. A sub-6% mortgage could light up this market fast—and when it does, you’ll want to be ready. This is the calm before the storm. Smart pros are laying groundwork now.
Also, can we all agree to pool our funds and buy that Malibu vineyard? I mean, seriously—look at that pool. That view. That wine! OK, back to work…
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