September 25, 2025 • 31 mins
The headlines might declare "Fed Cuts Rates!" but what does that actually mean for your mortgage? If you've been confused by seemingly contradictory financial news or wondering why mortgage rates sometimes move in the opposite direction from Federal Reserve announcements, this episode delivers the clarity you need.
Mortgage expert Brendon Bland returns to break down one of the most misunderstood aspects of home financing: the relationship between Fed funds rates and mortgage interest rates. With his signature straightforward approach, Brendan explains why mortgage rates actually dropped before the Fed's recent cut and then slightly increased afterward – a phenomenon that leaves many potential homebuyers scratching their heads.
We explore what truly drives mortgage rates (hint: it's not just Fed decisions) and why economic indicators like job reports and inflation data matter more to your home loan than headlines might suggest. For anyone considering buying or refinancing, Brendan offers practical advice about timing and explains why short-term rate predictions are nearly impossible even for experts.
The conversation shifts to the current real estate landscape in Central Ohio, where we're experiencing a fascinating transitional market. While inventory has increased, we're still firmly in seller's territory with continued price appreciation. We discuss how seller expectations need adjustment from the frenzied pandemic years and why today's buyers actually have more opportunities than they've had in five years.
Whether you're actively house-hunting, preparing to sell, or simply want to understand the financial forces shaping the housing market, this episode cuts through the noise to deliver actionable insights. Don't forget to check out our free First-Time Homebuyer Masterclass through the link in the episode description if you're ready to take your next steps with confidence.
To connect with Brendon:
Brendon Bland
614-747-3530
bbland@neighborhoodloans.com
https://www.instagram.com/mortgagemademodern/
https://www.facebook.com/brendon.bland
Sarah Thress
614-893-5885
First Time Home Buyer course: https://sarahthress.graphy.com/
Instagram https://www.instagram.com/sarah_thress_realtor/
Facebook https://www.facebook.com/SarahThressRealtor/
https://www.youtube.com/@LIFEINCOLUMBUS
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
SPEAKER_01 (00:03):
Hi, and welcome to this week's episode of Come to
Find Out.
This week we have the amazingBrendan Bland from Neighborhood
Loans.
Uh, anybody, anyone that's beenlistening for a while knows that
uh I have him on uh quite a bit,and that's because he does such
a great job at takinginformation that we all see in
(00:23):
the headlines and you know, readon social media and you know,
all the skies falling stuff thatwe read.
Uh, he takes that and he putsit.
I know, hopefully it's not, butuh he always takes that and puts
it in a way that um everyone cankind of understand it.
So uh wanted to bring him onhere to kind of give a market
update and explain, you know,some of the headlines we've been
(00:45):
seeing.
So, Brendan, thank you so muchfor taking time out of your day.
I know you're super busy, uh,but I appreciate you always
making time to be on here.
SPEAKER_00 (00:53):
Absolutely.
I'll always make time to be onhere.
Um, always enjoy it.
And uh yeah, thanks for havingme.
SPEAKER_01 (00:59):
Yeah, of course.
Of course.
So I know, you know, justrecently we saw, you know,
headlines about the Fed andcutting rates and oh my gosh,
mortgages, you know, mortgagesare gonna drop and all of these
things.
Um, so I'd love for you to kindof walk us through because I
know again, if you're notfollowing his social media, you
should um, because he puts outsuch great content and he kind
(01:20):
of you know broke this down insuch an amazing way.
So I'd love for you to go aheadand just kind of walk us through
like, you know, the headlines.
What does that actually mean?
And you know, what are we kindof seeing?
SPEAKER_00 (01:31):
Yeah.
First of all, I appreciate theplug.
So yeah, um, feel free to followme, follow Sarah online.
Um, I think we both do a decentjob of uh putting out some some
timely information.
But but yeah, um obviously as amortgage lender, one of the main
questions I get all the time ishey, what's what's going on with
mortgage rates?
(01:51):
And uh when we look at thingslike at a just like a headline
level, meaning like justliterally with the top of the
new, well, not the newspaper.
Does anyone read the newspaperanymore?
But you know what I'm saying.
The headlines um can give you aportion of the story, but
certainly not the full story.
And um really to kind of getcontext for what's going on, it
(02:14):
just we need to dig a little bitdeeper.
So um, you know, recently, uhwhat a lot of people have been
talking about is the Fed, theFed cutting rates, the Fed
cutting rates.
And, you know, I I don't thinkanyone would really care about
the Fed, or most people wouldn'tcare about the Fed if it if they
didn't have this perception thatit was gonna impact uh the
(02:34):
interest rate on the mortgage ofthe house they are wanting to
buy or wanting to refinance orsomething like that.
Um so you know, you have a lotof you know, Fed watchers who uh
otherwise would not give a crapabout what they're doing.
So, you know, for a lot ofpeople, they just don't really
know, you know, how the Fedfunctions, kind of what their
function is um in our countryand ultimately how it plays into
(02:55):
what we care about which everyday, which is you know,
borrowing money to buy a house.
So um at a high level, what theFed does when they're when
they're when you hear talk aboutthe Fed adjusting adjusting
rates, what they're functionallydoing is adjusting, adjusting
what's called the fed the Fedfunds rate.
The Fed funds rate, this iswhere it gets really, really
(03:17):
exciting, uh, the Fed funds rateis is actually more connected to
short-term debt.
And it's really the rate atwhich banks, big banks, lend
each other money overnight.
So uh people, you know, so a lotof people are like, well, that
doesn't sound like mortgagerates because it's not.
That is not what's happening.
(03:37):
So when you hear the Fed iseither raising raising rates or
is lowering rates, that does notinherently mean that mortgage
rates for us as consumers aregoing up or down.
So why do we even care about it?
Like, why, you know, what wouldbecause there is a correlation
to what their activity, whatthey do, and what ultimately
(03:59):
happens with mortgage rateseventually.
Um, and so as the Fed goes overtime, we we do see mortgage
rates move, but but they don'talways go in lockstep.
So um that's a lot of backgroundto kind of get to where where we
are today.
So um over the last, I'd say,month, month and a half, right
(04:19):
now we're at the end ofSeptember.
Uh, we saw mortgage rates comedown almost a half a percent.
Um so they were hovering, youknow, in the mid-sixes, you
know, let's say like 6625.
And then at one point they cameall the way down to like a six
and an eighth.
All of that happened before theFed cut their rate.
There are two reasons why thathappened.
(04:42):
One, um, anticipation of the Fedcutting the rate.
So um in the background withmortgage rates, um the there's
something called themortgage-backed security market
where people invest money intothat.
And those investors, they dolike to see the Fed cutting
rates, and there was anexpectation the Fed was going to
cut rates.
(05:02):
And so, in the lead up to thatactually happening, um, mortgage
rates came down with theanticipation of a rate cut from
the Fed.
Additionally, some of the thingsthat um investors in
mortgage-backed securities careabout um are things like uh jobs
reports and inflation.
(05:23):
And uh right now uh we're seeinga little bit of a less steady
job market.
Um and there's been a reportingthat's come out about that.
And so, therefore, um people whoinvest in mortgage-backed
securities um put more moneyinto that market, and therefore,
mortgage rates came down.
So I, you know, just trying tokeep it as simple as simply as
(05:46):
possible.
Um a lot of times when we hearthings that are not going great
in the economy, we'll seemortgage rates come down because
those mortgage-backed securitiesuh are safe investments.
Um they're all they're they'reeffectively guaranteed returns
for these investors.
And so anytime where there'suncertainty in the economy, um,
(06:07):
there's always a kind of aflight to safe, safer things,
safer investments.
So all that has kind of happenedover the last, like I said, four
to six weeks leading up to theFed cutting their rate.
So that's the good news is thatmortgage rates have come down
quite a bit here in the lastmonth or two.
Um, but when the Fed actuallydid cut their rate, um, we we
(06:30):
saw mortgage rates go up alittle bit.
Um, and so I think that's wheresome people are getting a little
puzzled or confused.
You know, well, why would if ifthe Fed cuts their rate, why
would mortgage rates go up?
Um there's a couple reasons forthat.
Um I think that the the biggestreason is once again, a lot of
this is perception of what'sgoing on in the economy.
(06:52):
Um and so um when the Fed cutthe rate, they said, hey, yeah,
we're cutting our rate.
Um and a bunch of the people whosit on the Fed, there's multiple
people who sit on that, on thatcommittee, said, Hey, we do
think that we're gonna continueto cut rates, which once again,
over time would be great formortgage rates.
Um But the head of the Fed,Jerome Powell, when he gave his
(07:14):
comments the day that they cuttheir rate, he was a little less
optimistic or a little about howmany cuts the Fed's gonna do and
how frequently they're gonna doit.
And so going back to those bondinvestors, those mortgage-backed
security investors, that was notwelcome news to them, right?
So that so that that gives thema little less confidence in
(07:35):
mortgage-backed securities.
Uh, and therefore, um mortgagerates actually went up a little
bit after the Fed cut theirrate.
So, since then, you know, Iwould say, you know, once again,
over the last, you know, four tosix weeks, we're in a much
better place than than what thanwhere we were previously.
Um, right now, the biggest thingthat we're looking forward to is
(07:57):
more economic data.
Um, that's really what's gonnadrive mortgage rates here
through the end of the year umand into next year.
So the two, the two biggies thatwe're looking at are gonna be
inflation.
So, do we see inflation stayingabout the same, or do we see it
getting better, or do we see itgetting worse?
If inflation gets worse, that'sbad for mortgage rates.
(08:19):
If it stays the same, that'sokay.
If it uh ultimately uh isgetting better, that's good for
mortgage rates.
So that's one thing that we'retaking a look at.
Right now, the Fed has placeduh, excuse me, uh, mortgage
bonds uh and and mortgage rateshave placed a bigger emphasis on
the job market.
So that's the other thing thatwe're really looking forward to
(08:40):
is what's going on in the jobmarket.
Once again, uh, you know, wedon't want to root for, you
know, uh a not strong jobmarket, um, but that would allow
mortgage rates to continue tocome down if um we're seeing a
little bit more unsteadiness inthe job market.
So, you know, uh coming up herein October, there's going to be
(09:04):
a report that gets released,it's a jobs report, um, and
there are predictions for whatthat jobs report is gonna say in
terms of new jobs that are beingcreated.
So if the actual result is thatthat report or those predictions
being correct, that could begood for mortgage rates.
(09:25):
If we created less jobs in theeconomy than that than was
predicted based on that report,that's good for mortgage rates.
We would expect mortgage ratesto go down.
And if we created more jobs thanexpected, good for the economy,
not good for mortgage rates.
So there's multiple things thatkind of at play that are gonna
(09:45):
continue to impact mortgagerates over, you know, certainly
through the rest of this year,going into next year.
Um, and so we kind of have tokind of keep, we gotta keep our
eye on the ball on all thosethings.
And uh, you know, once again, umthis can get, you know, in this
in this format we're talking,you know, right now, we can kind
of get a little bit morelong-winded on it because um
(10:06):
because we have the time.
But I think, you know,ultimately it's it can get
really confusing for a lot ofpeople because there's just
these little small things thatare, you know, kind of across
the board that can have animpact.
And we would we would just loveto say, hey, what's the one
thing we need to look at, right?
Is it the Fed?
Um, that's a port that's aportion of it.
So um, you know, my predictionis that over the next year or
(10:31):
two, um, which once again it's alittle easier to say over a
course of a longer time frame, Iexpect that mortgage rates will
continue to come down.
Over the short term, it's alittle harder to predict.
Volatility uh exists.
So um, you know, I've I I'vebeen sitting down with some, you
know, some folks this week whoare looking to buy.
(10:52):
Um I actually had a um, I have afamily who's moving to um
Columbus from Maryland.
And they asked me, they said,hey, Brendan, should, you know,
should should we wait to to lockour rate?
Like, do you think rates aregonna come down a little bit
more here in the next few weeks?
Um and as much as I want to sayyes, I I think that's gonna
(11:12):
happen.
Um, in the short term, reallyhard to predict.
We've talked about timing a lotin the real estate industry and
how that can be difficult.
So, you know, my general adviceis if you're in the middle of a
home search right now, um, andyou're sitting down with your
loan advisor and the numbersmake sense where they are, um, I
(11:33):
tend to be a lot moreconservative and I'm very big
on, hey, let's let's let's takethe scenarios that work, that we
know work right now, um, insteadof hoping for something to
happen that may or may nothappen in the short term.
So that's kind of my generalthought and advice for anyone
who's looking for a house rightnow or who is potentially
(11:53):
thinking about refinancing rightnow.
You know, once again, if you'rein the money for a refi and
you're wanting to, you know,maybe you want to see what's
gonna happen here over the nexttwo or three weeks, you could
luck out, things could getbetter, or you might see rates
go up a little bit, and then allof a sudden, maybe the scenario
that you're looking at today,you know, you wish you would
have pulled the trigger.
It's hard, it's hard to sayexactly.
(12:15):
Um, I just tend to be moreconservative on those things.
So um, you asked me onequestion, and then I think I
spoke for for 15 minutes.
So sorry about that, but buthopefully that's that kind of
gives people an idea of what youknow, you know, what's going on,
kind of where we've been.
And overall, I think the goodnews is rates are are have come
down quite a bit.
Um, and I think, you know, overthe next year or two, they will
(12:37):
continue to come down.
Um just it's the short termthat's hard to predict.
SPEAKER_01 (12:41):
Yeah.
No, I love that.
And I love that you break thatdown because I do think that it
is kind of um a misconceptionthat when uh, you know, uh the
Fed is lowering rates, then thatmeans mortgage rates are coming
down, you know, and it'sactually kind of um opposite uh
of that because it's based onother things.
So, you know, it's interestingto me that, you know, it's the
(13:03):
job market, uh, you know, thatkind of um kind of helps predict
that whether it's gonna go upand down in like inflation and
things like that.
So um I I think it's veryfascinating and I love how you
you break it down.
So thank you for that.
SPEAKER_00 (13:17):
Yeah, for sure, for sure.
I know it's it's like one ofthose things, like it is
fascinating, but it also like II sometimes when I'm talking to
people, I can see their eyesstart to to glaze over.
They're like, dude, just tell mewhat the hell the raid is.
Let's go, you know?
So um so so I yeah, I I I Icertainly I I I try to stay on
(13:38):
top of it and and and helpeducate people as much as we
can.
But at you know, once again, atthe end of the day, um, even
people who have many, many moreletters next to their name than
I do, um, they're they'rethey're really just they're
making educated guesses aboutwhat's gonna happen next.
Um so it's uh but I thinkunderstanding the why um can can
(13:59):
help, uh especially if you're inthe middle of a home search or
thinking about entering one.
SPEAKER_01 (14:04):
Yeah, I agree.
Well, and I think um, you know,it's interesting too.
I think you and I both get that,you know, that timing question.
Like I'm trying to time themarket.
And it's like you're never gonnabe able to time the market.
Like there's always, you know,gonna be something and you're
gonna wish that you had pulledit sooner, you know, or you wish
that you waited or whatever.
Like, so, you know, uh, I lovethat your advice is very similar
(14:26):
to mine.
It's like if you can afford thehouse that you want now, then
get it now.
And then wait.
And if the rates come down,refinance.
And if they don't, if they gohigher, you're locked in.
It doesn't matter, it's notgonna affect you.
So, you know, it's just like,let's just focus on now.
Does it work for you now?
No, okay, well, then let's wait.
(14:46):
Like, and you know, but don'twait because you're waiting for
the interest rates to come downbecause, you know, like you
said, like we don't know when orif that's gonna happen.
Uh, you know, we'd we'd love tosay, you know, I I know you and
I would both love to be like,yeah, absolutely, rates are
coming down.
We're going back into the foursand it's gonna be so great.
But like we would just be lyingto people.
SPEAKER_00 (15:09):
Yeah, or or you're or like you said, just taking a
tremendous wild swing guess,right?
Yeah, for sure.
For sure.
SPEAKER_01 (15:17):
Exactly.
SPEAKER_00 (15:18):
Um, but yeah, yeah.
What what are some things that II guess you're seeing?
I I you know, I saw the otherday Columbus Realtors, you know,
they put out um, you know, somedata.
It looks like, you know, uh acouple things that I thought
were interesting.
Um, you know, uh inventory is upum year over year.
Um home prices, of course, areup year over year.
(15:39):
Uh number of transa transactionsare up year over year.
Um, and then uh days on marketare are are up year over year.
At least that's why I think Isaw that correctly.
And it's interesting because Ithink some of those things you
might not think would gotogether, right?
You you would you wouldn'tnecessarily think, okay, home
prices are up and days on marketare up, right?
Like it's so it's an interestingtime.
(16:01):
What what what do you see on onon your side of the fence um
right now?
SPEAKER_01 (16:05):
Yeah, it's interesting.
Um, I mean, I've had a few, I'vehad a few listings over the past
few months that like literally,you know, we like listed it and
immediately it went intocontract.
But for the most part, I have,you know, I have three listings
that are just sitting.
Um, you know, it is like they'repriced appropriately, like
(16:27):
they're they're great homes.
It's just, you know, it justhasn't fit what someone's
looking for.
Um, you know, and so we're alsoseeing though, a lot of people
are trying to time that market.
So they're like, well, I likethis and I I want to get into a
house, but you know, let's justwait and see if the interest
rates go down.
And so, you know, like I thinkcollectively as a whole, you
(16:49):
know, like anyone looking to buyhas been thinking that way.
Like, well, let's just wait,let's, you know, wait for the
interest rates to come down andand whatever.
Um, but also what we're seeingis with more inventory, you
know, back in 2020 through like2022, um, when it was like a
house came on the market and 17people, you know, minimum wanted
(17:10):
to put a, you know, an offer onthat house because there was no
houses.
Now we're seeing kind of, youknow, a little bit different.
We still have a lot of peopleuh, you know, looking for homes,
but we have a lot more peoplethat are putting their homes on
the market.
Uh, what's interesting though,even though you see that
statistic that we've gone up andthat we have more inventory,
it's still very much a seller'smarket because we still don't
(17:34):
have enough inventory toactually fulfill, you know, like
to get to a balanced market, wewould have to have millions more
houses on the market.
SPEAKER_00 (17:43):
So yeah, more doesn't mean enough, right?
Yeah, it just means it was more.
SPEAKER_01 (17:48):
So um but you know, that's where with my sellers I
tell them, like, hey, if you'rewanting to make sure that you
sell this, we need to, you know,get it uh your house needs to
look great.
So um, you know, and do all the,you know, the finishing touches,
you know, any of the upgrades,things like that if you're
wanting to get top dollar.
(18:09):
Um, you know, but the biggestthing is just pricing
appropriately.
So if you're wanting to sell asis and your house needs a lot of
work, then we are gonna list itlower than, you know, what you
could potentially get.
Um, but I think the biggestthing that people need to
remember though is there's noexact science to, you know, to
(18:30):
it.
And a house is only worth whatsomeone's willing to pay.
So, you know, a lot of timessellers will be like, well, my
neighbor, you know, like theirhouse wasn't as updated as ours,
but they were able to get, youknow, like$20,000 more uh than
we are.
Like, why is that?
Well, at the time there wassomebody that was willing to pay
that, and now there's notsomeone that's willing to pay
(18:51):
that.
So it just, you know, there isunfortunately you and I don't
have crystal balls.
So we can't, you know, tell themlike list it at this, and and
you're gonna have, you know, allthese offers and it's gonna be
in contract in like, you know, aday.
Um, you know, instead it's justreally like, hey, let's put our
best foot forward, let's marketit, let's do what we can and um,
(19:11):
you know, let's let's adjustaccordingly.
So I think as long as people gointo it with an open mind of
knowing, like, hey, we're gonnastart here.
This is, you know, this is whatI feel is is the best, putting
my best foot forward and thenbeing willing to adjust, you
know, I think is gonna, it'sreally gonna bode well for
people that are trying to sellin this market.
SPEAKER_00 (19:32):
Do do you with your other uh realtor colleagues, are
you seeing like how are theconversations going with
sellers?
Because I feel like on the buyerside, we're finally into a place
where people are like, okay, weunderstand it's no longer 2021,
2022.
Like, we understand that ratesare not 3%.
(19:54):
We don't like it, but weunderstand it.
You know what I mean?
I I feel like on the sellerside, you know, it it I I've
still, you know, heard, youknow, at least, you know,
there's been a good chunk offolks who are still having a
hard time accepting, like, hey,I can't, I I can't just list my
house for whatever price that,you know, shoot, you know,
(20:14):
basically pick your number andyou know, I I how are those
conversations going?
Do you think?
SPEAKER_01 (20:19):
Yeah.
Yeah, no, that's such a goodpoint because yeah, buyers, I
feel like for the most part,buyers are like, okay, it's not,
you know, 2020.
Um, you know, and they which isgood because they actually have
time to like think about, youknow, the house, think about the
offer, maybe even see it acouple of times before, you
know, like writing an offer.
(20:39):
Whereas back then, like youliterally walked through and if
you weren't writing an offer asyou were getting in the car,
yeah, you weren't getting in thehouse.
So it didn't even matter.
And you were probably alreadygonna be outbid, you know, by 10
other people.
So um, you know, sellers,sellers are a little bit
different though, because theylook back at, you know, sales
from, you know, six months ago,a year ago, two years ago, and
(21:02):
they're like, Well, these peoplegot this much.
Why can't I, you know, why areyou telling me I can't list it
that?
And it's like, well, because,you know, even six months ago,
it was a different market thanwhat we have now.
And so, you know, anytime I'mpulling up comps, I'm only
looking at a few months back,uh, you know, to really just
kind of show them likerealistically, this is where I
(21:22):
think we should be.
And, you know, like don't lookback two years ago because that
was a total different market.
And, you know, like that's justthat's just how it is.
So um I feel like for the mostpart, people are starting to
understand.
Most of them are like, yeah,okay.
Yeah, you know, that stinks, butI get it, you know.
And then others are like, well,but that's what I want.
(21:45):
And I'm like, I mean, if if youwant to, because again, it's up
to the person selling it orbuying it, whatever they want to
pay for it or whatever they wantto sell it for, you know.
So sometimes no matter how manyconversations I've had with the
seller, they're like, Well, Iwant to just try.
And I'm like, okay, just knowthat, you know, in in seven to
ten days, if we haven't had anyshowings or we, you know, we're
(22:07):
like the feedback is saying thatwe're priced too high.
I'm gonna come back to you andwe're gonna do a, you know, a
price improvement.
So um, you know, I think it'sjust all in how you set your
people up, have thoseconversations, let them know,
you know, kind of what to expectand um, you know, educating them
on the the market and how it'sjust different.
SPEAKER_00 (22:26):
Yeah, it's interesting.
I mean, what kind of once again,I think I said it earlier, like
perception matters so much.
Um, because like I was even Iwas talking to another set of
buyers the other day, and youknow, and they were like, well,
hey, you know, um it looks likeyou know how you know home
prices are going down, like likewe're going backwards.
Um, you know, I and I askedthem, you know, kind of what you
(22:46):
know, where where they got thatfrom or kind of what they were
thinking.
They're like, well, I'm lookingon Zillow or whatever, and I
see, you know, these homes whereyou know the there's a price
improvement, and you know, thesellers, you know, reduced it.
And so that means that you know,housing prices must be going
down.
And that is that a bad thing orwhat's going on there?
And once again, I think it's abig perception thing, but you
know, because what I explainedto them is like, no, housing
(23:10):
prices are not going down.
What what's what's happening isthere are you know a handful of
situations where people, youknow, people having to adjust
what they're what they listedtheir home for.
But if we look back at the valueof that home, excuse me, that
home over the last 12 to 24months, 36 months, 48 months,
(23:30):
however long it is, what most ofthese homes are selling for
ultimately when they close, thathome's still appreciated in
value.
It still went up.
It's just that, you know, wherethey started, you know, maybe
they thought they were going tobe able to get a 15% bump, you
know, because that's what we hadduring COVID, right?
And in reality, they're gettingthat three to four percent bump,
(23:52):
you know, year over year.
Um that's that's you know,typically, you know, what you'd
see in a more healthy andbalanced market.
And so um, yeah, I just I justthink, yeah, there's a lot of,
you know, any during anytransition period, which I think
we are experiencing right now inthe real estate market, um, you
know, there's a lot ofperception management that has
to has to happen, um, both by usas real estate professionals and
(24:14):
then also internally, you know,if you're someone who wants to
buy a house or sell a house,like as well, like, you know,
kind of uh doing some educationyourself, you know, and
understand, you know,understanding, okay, hey, here's
the reality of of where thingsare.
And I understand what I kind ofhow what I think, what I feel,
but what's real, you know,what's what's the market
actually dictating right now?
(24:36):
Um, and so um, yeah, just aninteresting time, I think, from
that perspective.
It's always interesting in realestate, of course, but I I think
that's kind of the that's reallythe for me, what I what I'm
thinking a lot about right nowis the the kind of the
transitionary period from wherewe were in COVID to to to today
um and kind of where we'reheading.
So um yeah, appreciate,appreciate you sharing kind of
(24:57):
what you're hearing on theseller side.
SPEAKER_01 (24:59):
Yeah, absolutely.
No, I appreciate that.
And uh yeah, I think that, youknow, I I still think that right
now is still a good time to buy.
It's still a good time to sell.
Uh, you know, here in centralOhio, like the, you know, the
data that you were talkingabout, um, you know, we still
are, you know, increasing everyyear with uh, you know, with the
prices, you know, with averagehome prices, uh, with days on
(25:23):
market, you know, yes, that didincrease a little bit, but uh,
you're seeing that all over.
But our days on market here incentral Ohio are nothing
compared to, you know, othermarkets uh around the country.
Yeah.
And, you know, and are we dohave that built-in like three to
four percent appreciation yearover year, you know, because we
(25:44):
do have such a a strong uhmarket here.
So you know it's not just atagline, it really is, you know,
like if it fits for youfinancially, now is the best
time to buy yourself.
SPEAKER_00 (25:56):
Yeah, you know, I I the other day I was talking to
someone about this too.
And, you know, because likethey're like, hey, is now a good
time to buy?
Um and here's what I wouldhere's what I've been telling my
buyers is like, listen, I uh youknow, I'm a mortgage lender, I
get paid when people buy houses.
So I'm gonna say it's a goodtime to buy, of course, right?
But but here, but here's what Ihere's the truth is um my buyers
(26:16):
today um have more choices thanthey've had in the last five
years.
Um so if you think having morechoices is a good thing, then
that's the market right now.
Um is it the right time for you?
I don't know.
You know, I don't know what'sgoing on in your specific
situation.
(26:37):
Um, and you know, so it may notbe the best time to buy for you,
but I I think right now buyersin this market today have more
choices than they've had inyears.
And so that's that's my that'skind of what I'm talking to
people about is you know, let'slook at the let's look at all
the opportunities that you have.
Um and once again, from aseller's perspective, you know,
homes are still selling andthey're still selling really
(26:59):
with really good values.
So um I just think it's it's itthere's opportunities on both
sides of the fence.
Um you just gotta have, youknow, a good team and a good
strategy.
Um and you know, positionyourself well.
But but yeah, that that's that'smy two cents on them.
It's a good time to buy.
I think there's just morechoices now than there's been in
a long time.
SPEAKER_01 (27:18):
Yeah, I love that.
I totally agree.
Uh and you know, I know that youand I both are always, you know,
working with each personindividually.
And uh, you know, it's not it'snot a numbers game to us, you
know, like our people are notnumbers, they are people.
And, you know, I know that youand I both have had
conversations with buyers orsellers and just, you know, uh,
(27:38):
especially buyers though, youknow, just saying, like, hey,
let's look at your at yourstory, like what's going on
right now in your life.
And, you know, and I know youand I both have had
conversations with people wherewe're like, yeah, okay, like I
love that you have this goal oflike purchasing, but it doesn't
seem like it's the right timefor you right now.
So like let's, you know, let'scircle back uh, you know, in six
(28:00):
months or whatever, and youknow, like let's work on XYZ and
make sure that it makes sensefor you because, you know, like
I said, people are not numbersto us, they are actual people
living, you know, lives.
And we want to make sure thatthey're setting themselves up
for success.
So 100%.
SPEAKER_00 (28:18):
Yeah.
I I once once again, that's Ithink one of the reasons we work
so well together.
And um yeah, I you know, uh,once again, I think we both
we've said this multiple timesin this podcast.
We want to be able to sleep atnight, right?
So we want to make sure, yeah,when we're when we're we're
setting someone up, we'resetting you up for success.
Um, so yeah, I think that Ithink that's always the goal,
right?
And kind of just once again,with everything else we just
(28:38):
talked about, like getting agood team, getting a strategy in
place, um, you know, gettingeducating yourself, um, and then
and then you make the make youmaking the right decision for
you and your family based on allthat, you know, all those
factors.
Um and so, but yeah, yeah, yeah.
We we love to help.
Um, and uh hope hopefully, youknow, if you're listening to
(28:59):
this podcast or watching this,um, this information is helpful.
SPEAKER_01 (29:04):
Yeah, I love it.
And um speaking of informationbeing helpful, uh, Brendan and I
also created a master course,um, a masterclass for first-time
homebuyers.
And it really like we've taughtthe first time homebuyer class
uh so much that I think each ofus could teach the other ones a
portion.
Um and we could probably do itin our sleep.
(29:25):
But uh, you know, if you'relistening to this and you're
like, man, this is such greatinformation.
How do I get started?
What do I need to do?
Uh, there's always a link uh inevery uh description of the
podcast.
Um so even if you don't go tothis one, you can go to any of
them.
There's a link in there thatwill take you to the
masterclass.
Uh, it is free, um, you know,because we want you to get the
(29:47):
information that you need sothat you feel empowered on your
home buying journey.
So um make sure you check thatout.
But thank you so much, Brendan,for taking time out of your
schedule.
I know you're getting ready tohop on a plane and and Set away.
So I really appreciate youtaking the time.
SPEAKER_00 (30:03):
Of course.
Anytime.
I can do it in the air, youknow, if we need to.
So, you know.
SPEAKER_01 (30:08):
I love it.
I love it.
Well, thank you so much.
And thank you for tuning in tothis week's episode.
Hopefully, you found uh some ofthis information helpful.
And uh, you know, don't forgetthat there is that master class
if you are looking for a way tojust kind of understand the
whole process.
So make sure that you are likingand subscribing so that you
(30:28):
never miss another episode.
So we'll see you next time onCome to Find Out.
Hi, and welcome to this week's episode of Come to
Find Out.
This week we have the amazingBrendan Bland from Neighborhood
Loans.
Uh, anybody, anyone that's beenlistening for a while knows that
uh I have him on uh quite a bit,and that's because he does such
a great job at takinginformation that we all see in
(00:23):
the headlines and you know, readon social media and you know,
all the skies falling stuff thatwe read.
Uh, he takes that and he putsit.
I know, hopefully it's not, butuh he always takes that and puts
it in a way that um everyone cankind of understand it.
So uh wanted to bring him onhere to kind of give a market
update and explain, you know,some of the headlines we've been
(00:45):
seeing.
So, Brendan, thank you so muchfor taking time out of your day.
I know you're super busy, uh,but I appreciate you always
making time to be on here.
SPEAKER_00 (00:53):
Absolutely.
I'll always make time to be onhere.
Um, always enjoy it.
And uh yeah, thanks for havingme.
SPEAKER_01 (00:59):
Yeah, of course.
Of course.
So I know, you know, justrecently we saw, you know,
headlines about the Fed andcutting rates and oh my gosh,
mortgages, you know, mortgagesare gonna drop and all of these
things.
Um, so I'd love for you to kindof walk us through because I
know again, if you're notfollowing his social media, you
should um, because he puts outsuch great content and he kind
(01:20):
of you know broke this down insuch an amazing way.
So I'd love for you to go aheadand just kind of walk us through
like, you know, the headlines.
What does that actually mean?
And you know, what are we kindof seeing?
SPEAKER_00 (01:31):
Yeah.
First of all, I appreciate theplug.
So yeah, um, feel free to followme, follow Sarah online.
Um, I think we both do a decentjob of uh putting out some some
timely information.
But but yeah, um obviously as amortgage lender, one of the main
questions I get all the time ishey, what's what's going on with
mortgage rates?
(01:51):
And uh when we look at thingslike at a just like a headline
level, meaning like justliterally with the top of the
new, well, not the newspaper.
Does anyone read the newspaperanymore?
But you know what I'm saying.
The headlines um can give you aportion of the story, but
certainly not the full story.
And um really to kind of getcontext for what's going on, it
(02:14):
just we need to dig a little bitdeeper.
So um, you know, recently, uhwhat a lot of people have been
talking about is the Fed, theFed cutting rates, the Fed
cutting rates.
And, you know, I I don't thinkanyone would really care about
the Fed, or most people wouldn'tcare about the Fed if it if they
didn't have this perception thatit was gonna impact uh the
(02:34):
interest rate on the mortgage ofthe house they are wanting to
buy or wanting to refinance orsomething like that.
Um so you know, you have a lotof you know, Fed watchers who uh
otherwise would not give a crapabout what they're doing.
So, you know, for a lot ofpeople, they just don't really
know, you know, how the Fedfunctions, kind of what their
function is um in our countryand ultimately how it plays into
(02:55):
what we care about which everyday, which is you know,
borrowing money to buy a house.
So um at a high level, what theFed does when they're when
they're when you hear talk aboutthe Fed adjusting adjusting
rates, what they're functionallydoing is adjusting, adjusting
what's called the fed the Fedfunds rate.
The Fed funds rate, this iswhere it gets really, really
(03:17):
exciting, uh, the Fed funds rateis is actually more connected to
short-term debt.
And it's really the rate atwhich banks, big banks, lend
each other money overnight.
So uh people, you know, so a lotof people are like, well, that
doesn't sound like mortgagerates because it's not.
That is not what's happening.
(03:37):
So when you hear the Fed iseither raising raising rates or
is lowering rates, that does notinherently mean that mortgage
rates for us as consumers aregoing up or down.
So why do we even care about it?
Like, why, you know, what wouldbecause there is a correlation
to what their activity, whatthey do, and what ultimately
(03:59):
happens with mortgage rateseventually.
Um, and so as the Fed goes overtime, we we do see mortgage
rates move, but but they don'talways go in lockstep.
So um that's a lot of backgroundto kind of get to where where we
are today.
So um over the last, I'd say,month, month and a half, right
(04:19):
now we're at the end ofSeptember.
Uh, we saw mortgage rates comedown almost a half a percent.
Um so they were hovering, youknow, in the mid-sixes, you
know, let's say like 6625.
And then at one point they cameall the way down to like a six
and an eighth.
All of that happened before theFed cut their rate.
There are two reasons why thathappened.
(04:42):
One, um, anticipation of the Fedcutting the rate.
So um in the background withmortgage rates, um the there's
something called themortgage-backed security market
where people invest money intothat.
And those investors, they dolike to see the Fed cutting
rates, and there was anexpectation the Fed was going to
cut rates.
(05:02):
And so, in the lead up to thatactually happening, um, mortgage
rates came down with theanticipation of a rate cut from
the Fed.
Additionally, some of the thingsthat um investors in
mortgage-backed securities careabout um are things like uh jobs
reports and inflation.
(05:23):
And uh right now uh we're seeinga little bit of a less steady
job market.
Um and there's been a reportingthat's come out about that.
And so, therefore, um people whoinvest in mortgage-backed
securities um put more moneyinto that market, and therefore,
mortgage rates came down.
So I, you know, just trying tokeep it as simple as simply as
(05:46):
possible.
Um a lot of times when we hearthings that are not going great
in the economy, we'll seemortgage rates come down because
those mortgage-backed securitiesuh are safe investments.
Um they're all they're they'reeffectively guaranteed returns
for these investors.
And so anytime where there'suncertainty in the economy, um,
(06:07):
there's always a kind of aflight to safe, safer things,
safer investments.
So all that has kind of happenedover the last, like I said, four
to six weeks leading up to theFed cutting their rate.
So that's the good news is thatmortgage rates have come down
quite a bit here in the lastmonth or two.
Um, but when the Fed actuallydid cut their rate, um, we we
(06:30):
saw mortgage rates go up alittle bit.
Um, and so I think that's wheresome people are getting a little
puzzled or confused.
You know, well, why would if ifthe Fed cuts their rate, why
would mortgage rates go up?
Um there's a couple reasons forthat.
Um I think that the the biggestreason is once again, a lot of
this is perception of what'sgoing on in the economy.
(06:52):
Um and so um when the Fed cutthe rate, they said, hey, yeah,
we're cutting our rate.
Um and a bunch of the people whosit on the Fed, there's multiple
people who sit on that, on thatcommittee, said, Hey, we do
think that we're gonna continueto cut rates, which once again,
over time would be great formortgage rates.
Um But the head of the Fed,Jerome Powell, when he gave his
(07:14):
comments the day that they cuttheir rate, he was a little less
optimistic or a little about howmany cuts the Fed's gonna do and
how frequently they're gonna doit.
And so going back to those bondinvestors, those mortgage-backed
security investors, that was notwelcome news to them, right?
So that so that that gives thema little less confidence in
(07:35):
mortgage-backed securities.
Uh, and therefore, um mortgagerates actually went up a little
bit after the Fed cut theirrate.
So, since then, you know, Iwould say, you know, once again,
over the last, you know, four tosix weeks, we're in a much
better place than than what thanwhere we were previously.
Um, right now, the biggest thingthat we're looking forward to is
(07:57):
more economic data.
Um, that's really what's gonnadrive mortgage rates here
through the end of the year umand into next year.
So the two, the two biggies thatwe're looking at are gonna be
inflation.
So, do we see inflation stayingabout the same, or do we see it
getting better, or do we see itgetting worse?
If inflation gets worse, that'sbad for mortgage rates.
(08:19):
If it stays the same, that'sokay.
If it uh ultimately uh isgetting better, that's good for
mortgage rates.
So that's one thing that we'retaking a look at.
Right now, the Fed has placeduh, excuse me, uh, mortgage
bonds uh and and mortgage rateshave placed a bigger emphasis on
the job market.
So that's the other thing thatwe're really looking forward to
(08:40):
is what's going on in the jobmarket.
Once again, uh, you know, wedon't want to root for, you
know, uh a not strong jobmarket, um, but that would allow
mortgage rates to continue tocome down if um we're seeing a
little bit more unsteadiness inthe job market.
So, you know, uh coming up herein October, there's going to be
(09:04):
a report that gets released,it's a jobs report, um, and
there are predictions for whatthat jobs report is gonna say in
terms of new jobs that are beingcreated.
So if the actual result is thatthat report or those predictions
being correct, that could begood for mortgage rates.
(09:25):
If we created less jobs in theeconomy than that than was
predicted based on that report,that's good for mortgage rates.
We would expect mortgage ratesto go down.
And if we created more jobs thanexpected, good for the economy,
not good for mortgage rates.
So there's multiple things thatkind of at play that are gonna
(09:45):
continue to impact mortgagerates over, you know, certainly
through the rest of this year,going into next year.
Um, and so we kind of have tokind of keep, we gotta keep our
eye on the ball on all thosethings.
And uh, you know, once again, umthis can get, you know, in this
in this format we're talking,you know, right now, we can kind
of get a little bit morelong-winded on it because um
(10:06):
because we have the time.
But I think, you know,ultimately it's it can get
really confusing for a lot ofpeople because there's just
these little small things thatare, you know, kind of across
the board that can have animpact.
And we would we would just loveto say, hey, what's the one
thing we need to look at, right?
Is it the Fed?
Um, that's a port that's aportion of it.
So um, you know, my predictionis that over the next year or
(10:31):
two, um, which once again it's alittle easier to say over a
course of a longer time frame, Iexpect that mortgage rates will
continue to come down.
Over the short term, it's alittle harder to predict.
Volatility uh exists.
So um, you know, I've I I'vebeen sitting down with some, you
know, some folks this week whoare looking to buy.
(10:52):
Um I actually had a um, I have afamily who's moving to um
Columbus from Maryland.
And they asked me, they said,hey, Brendan, should, you know,
should should we wait to to lockour rate?
Like, do you think rates aregonna come down a little bit
more here in the next few weeks?
Um and as much as I want to sayyes, I I think that's gonna
(11:12):
happen.
Um, in the short term, reallyhard to predict.
We've talked about timing a lotin the real estate industry and
how that can be difficult.
So, you know, my general adviceis if you're in the middle of a
home search right now, um, andyou're sitting down with your
loan advisor and the numbersmake sense where they are, um, I
(11:33):
tend to be a lot moreconservative and I'm very big
on, hey, let's let's let's takethe scenarios that work, that we
know work right now, um, insteadof hoping for something to
happen that may or may nothappen in the short term.
So that's kind of my generalthought and advice for anyone
who's looking for a house rightnow or who is potentially
(11:53):
thinking about refinancing rightnow.
You know, once again, if you'rein the money for a refi and
you're wanting to, you know,maybe you want to see what's
gonna happen here over the nexttwo or three weeks, you could
luck out, things could getbetter, or you might see rates
go up a little bit, and then allof a sudden, maybe the scenario
that you're looking at today,you know, you wish you would
have pulled the trigger.
It's hard, it's hard to sayexactly.
(12:15):
Um, I just tend to be moreconservative on those things.
So um, you asked me onequestion, and then I think I
spoke for for 15 minutes.
So sorry about that, but buthopefully that's that kind of
gives people an idea of what youknow, you know, what's going on,
kind of where we've been.
And overall, I think the goodnews is rates are are have come
down quite a bit.
Um, and I think, you know, overthe next year or two, they will
(12:37):
continue to come down.
Um just it's the short termthat's hard to predict.
SPEAKER_01 (12:41):
Yeah.
No, I love that.
And I love that you break thatdown because I do think that it
is kind of um a misconceptionthat when uh, you know, uh the
Fed is lowering rates, then thatmeans mortgage rates are coming
down, you know, and it'sactually kind of um opposite uh
of that because it's based onother things.
So, you know, it's interestingto me that, you know, it's the
(13:03):
job market, uh, you know, thatkind of um kind of helps predict
that whether it's gonna go upand down in like inflation and
things like that.
So um I I think it's veryfascinating and I love how you
you break it down.
So thank you for that.
SPEAKER_00 (13:17):
Yeah, for sure, for sure.
I know it's it's like one ofthose things, like it is
fascinating, but it also like II sometimes when I'm talking to
people, I can see their eyesstart to to glaze over.
They're like, dude, just tell mewhat the hell the raid is.
Let's go, you know?
So um so so I yeah, I I I Icertainly I I I try to stay on
(13:38):
top of it and and and helpeducate people as much as we
can.
But at you know, once again, atthe end of the day, um, even
people who have many, many moreletters next to their name than
I do, um, they're they'rethey're really just they're
making educated guesses aboutwhat's gonna happen next.
Um so it's uh but I thinkunderstanding the why um can can
(13:59):
help, uh especially if you're inthe middle of a home search or
thinking about entering one.
SPEAKER_01 (14:04):
Yeah, I agree.
Well, and I think um, you know,it's interesting too.
I think you and I both get that,you know, that timing question.
Like I'm trying to time themarket.
And it's like you're never gonnabe able to time the market.
Like there's always, you know,gonna be something and you're
gonna wish that you had pulledit sooner, you know, or you wish
that you waited or whatever.
Like, so, you know, uh, I lovethat your advice is very similar
(14:26):
to mine.
It's like if you can afford thehouse that you want now, then
get it now.
And then wait.
And if the rates come down,refinance.
And if they don't, if they gohigher, you're locked in.
It doesn't matter, it's notgonna affect you.
So, you know, it's just like,let's just focus on now.
Does it work for you now?
No, okay, well, then let's wait.
(14:46):
Like, and you know, but don'twait because you're waiting for
the interest rates to come downbecause, you know, like you
said, like we don't know when orif that's gonna happen.
Uh, you know, we'd we'd love tosay, you know, I I know you and
I would both love to be like,yeah, absolutely, rates are
coming down.
We're going back into the foursand it's gonna be so great.
But like we would just be lyingto people.
SPEAKER_00 (15:09):
Yeah, or or you're or like you said, just taking a
tremendous wild swing guess,right?
Yeah, for sure.
For sure.
SPEAKER_01 (15:17):
Exactly.
SPEAKER_00 (15:18):
Um, but yeah, yeah.
What what are some things that II guess you're seeing?
I I you know, I saw the otherday Columbus Realtors, you know,
they put out um, you know, somedata.
It looks like, you know, uh acouple things that I thought
were interesting.
Um, you know, uh inventory is upum year over year.
Um home prices, of course, areup year over year.
(15:39):
Uh number of transa transactionsare up year over year.
Um, and then uh days on marketare are are up year over year.
At least that's why I think Isaw that correctly.
And it's interesting because Ithink some of those things you
might not think would gotogether, right?
You you would you wouldn'tnecessarily think, okay, home
prices are up and days on marketare up, right?
Like it's so it's an interestingtime.
(16:01):
What what what do you see on onon your side of the fence um
right now?
SPEAKER_01 (16:05):
Yeah, it's interesting.
Um, I mean, I've had a few, I'vehad a few listings over the past
few months that like literally,you know, we like listed it and
immediately it went intocontract.
But for the most part, I have,you know, I have three listings
that are just sitting.
Um, you know, it is like they'repriced appropriately, like
(16:27):
they're they're great homes.
It's just, you know, it justhasn't fit what someone's
looking for.
Um, you know, and so we're alsoseeing though, a lot of people
are trying to time that market.
So they're like, well, I likethis and I I want to get into a
house, but you know, let's justwait and see if the interest
rates go down.
And so, you know, like I thinkcollectively as a whole, you
(16:49):
know, like anyone looking to buyhas been thinking that way.
Like, well, let's just wait,let's, you know, wait for the
interest rates to come down andand whatever.
Um, but also what we're seeingis with more inventory, you
know, back in 2020 through like2022, um, when it was like a
house came on the market and 17people, you know, minimum wanted
(17:10):
to put a, you know, an offer onthat house because there was no
houses.
Now we're seeing kind of, youknow, a little bit different.
We still have a lot of peopleuh, you know, looking for homes,
but we have a lot more peoplethat are putting their homes on
the market.
Uh, what's interesting though,even though you see that
statistic that we've gone up andthat we have more inventory,
it's still very much a seller'smarket because we still don't
(17:34):
have enough inventory toactually fulfill, you know, like
to get to a balanced market, wewould have to have millions more
houses on the market.
SPEAKER_00 (17:43):
So yeah, more doesn't mean enough, right?
Yeah, it just means it was more.
SPEAKER_01 (17:48):
So um but you know, that's where with my sellers I
tell them, like, hey, if you'rewanting to make sure that you
sell this, we need to, you know,get it uh your house needs to
look great.
So um, you know, and do all the,you know, the finishing touches,
you know, any of the upgrades,things like that if you're
wanting to get top dollar.
(18:09):
Um, you know, but the biggestthing is just pricing
appropriately.
So if you're wanting to sell asis and your house needs a lot of
work, then we are gonna list itlower than, you know, what you
could potentially get.
Um, but I think the biggestthing that people need to
remember though is there's noexact science to, you know, to
(18:30):
it.
And a house is only worth whatsomeone's willing to pay.
So, you know, a lot of timessellers will be like, well, my
neighbor, you know, like theirhouse wasn't as updated as ours,
but they were able to get, youknow, like$20,000 more uh than
we are.
Like, why is that?
Well, at the time there wassomebody that was willing to pay
that, and now there's notsomeone that's willing to pay
(18:51):
that.
So it just, you know, there isunfortunately you and I don't
have crystal balls.
So we can't, you know, tell themlike list it at this, and and
you're gonna have, you know, allthese offers and it's gonna be
in contract in like, you know, aday.
Um, you know, instead it's justreally like, hey, let's put our
best foot forward, let's marketit, let's do what we can and um,
(19:11):
you know, let's let's adjustaccordingly.
So I think as long as people gointo it with an open mind of
knowing, like, hey, we're gonnastart here.
This is, you know, this is whatI feel is is the best, putting
my best foot forward and thenbeing willing to adjust, you
know, I think is gonna, it'sreally gonna bode well for
people that are trying to sellin this market.
SPEAKER_00 (19:32):
Do do you with your other uh realtor colleagues, are
you seeing like how are theconversations going with
sellers?
Because I feel like on the buyerside, we're finally into a place
where people are like, okay, weunderstand it's no longer 2021,
2022.
Like, we understand that ratesare not 3%.
(19:54):
We don't like it, but weunderstand it.
You know what I mean?
I I feel like on the sellerside, you know, it it I I've
still, you know, heard, youknow, at least, you know,
there's been a good chunk offolks who are still having a
hard time accepting, like, hey,I can't, I I can't just list my
house for whatever price that,you know, shoot, you know,
(20:14):
basically pick your number andyou know, I I how are those
conversations going?
Do you think?
SPEAKER_01 (20:19):
Yeah.
Yeah, no, that's such a goodpoint because yeah, buyers, I
feel like for the most part,buyers are like, okay, it's not,
you know, 2020.
Um, you know, and they which isgood because they actually have
time to like think about, youknow, the house, think about the
offer, maybe even see it acouple of times before, you
know, like writing an offer.
(20:39):
Whereas back then, like youliterally walked through and if
you weren't writing an offer asyou were getting in the car,
yeah, you weren't getting in thehouse.
So it didn't even matter.
And you were probably alreadygonna be outbid, you know, by 10
other people.
So um, you know, sellers,sellers are a little bit
different though, because theylook back at, you know, sales
from, you know, six months ago,a year ago, two years ago, and
(21:02):
they're like, Well, these peoplegot this much.
Why can't I, you know, why areyou telling me I can't list it
that?
And it's like, well, because,you know, even six months ago,
it was a different market thanwhat we have now.
And so, you know, anytime I'mpulling up comps, I'm only
looking at a few months back,uh, you know, to really just
kind of show them likerealistically, this is where I
(21:22):
think we should be.
And, you know, like don't lookback two years ago because that
was a total different market.
And, you know, like that's justthat's just how it is.
So um I feel like for the mostpart, people are starting to
understand.
Most of them are like, yeah,okay.
Yeah, you know, that stinks, butI get it, you know.
And then others are like, well,but that's what I want.
(21:45):
And I'm like, I mean, if if youwant to, because again, it's up
to the person selling it orbuying it, whatever they want to
pay for it or whatever they wantto sell it for, you know.
So sometimes no matter how manyconversations I've had with the
seller, they're like, Well, Iwant to just try.
And I'm like, okay, just knowthat, you know, in in seven to
ten days, if we haven't had anyshowings or we, you know, we're
(22:07):
like the feedback is saying thatwe're priced too high.
I'm gonna come back to you andwe're gonna do a, you know, a
price improvement.
So um, you know, I think it'sjust all in how you set your
people up, have thoseconversations, let them know,
you know, kind of what to expectand um, you know, educating them
on the the market and how it'sjust different.
SPEAKER_00 (22:26):
Yeah, it's interesting.
I mean, what kind of once again,I think I said it earlier, like
perception matters so much.
Um, because like I was even Iwas talking to another set of
buyers the other day, and youknow, and they were like, well,
hey, you know, um it looks likeyou know how you know home
prices are going down, like likewe're going backwards.
Um, you know, I and I askedthem, you know, kind of what you
(22:46):
know, where where they got thatfrom or kind of what they were
thinking.
They're like, well, I'm lookingon Zillow or whatever, and I
see, you know, these homes whereyou know the there's a price
improvement, and you know, thesellers, you know, reduced it.
And so that means that you know,housing prices must be going
down.
And that is that a bad thing orwhat's going on there?
And once again, I think it's abig perception thing, but you
know, because what I explainedto them is like, no, housing
(23:10):
prices are not going down.
What what's what's happening isthere are you know a handful of
situations where people, youknow, people having to adjust
what they're what they listedtheir home for.
But if we look back at the valueof that home, excuse me, that
home over the last 12 to 24months, 36 months, 48 months,
(23:30):
however long it is, what most ofthese homes are selling for
ultimately when they close, thathome's still appreciated in
value.
It still went up.
It's just that, you know, wherethey started, you know, maybe
they thought they were going tobe able to get a 15% bump, you
know, because that's what we hadduring COVID, right?
And in reality, they're gettingthat three to four percent bump,
(23:52):
you know, year over year.
Um that's that's you know,typically, you know, what you'd
see in a more healthy andbalanced market.
And so um, yeah, I just I justthink, yeah, there's a lot of,
you know, any during anytransition period, which I think
we are experiencing right now inthe real estate market, um, you
know, there's a lot ofperception management that has
to has to happen, um, both by usas real estate professionals and
(24:14):
then also internally, you know,if you're someone who wants to
buy a house or sell a house,like as well, like, you know,
kind of uh doing some educationyourself, you know, and
understand, you know,understanding, okay, hey, here's
the reality of of where thingsare.
And I understand what I kind ofhow what I think, what I feel,
but what's real, you know,what's what's the market
actually dictating right now?
(24:36):
Um, and so um, yeah, just aninteresting time, I think, from
that perspective.
It's always interesting in realestate, of course, but I I think
that's kind of the that's reallythe for me, what I what I'm
thinking a lot about right nowis the the kind of the
transitionary period from wherewe were in COVID to to to today
um and kind of where we'reheading.
So um yeah, appreciate,appreciate you sharing kind of
(24:57):
what you're hearing on theseller side.
SPEAKER_01 (24:59):
Yeah, absolutely.
No, I appreciate that.
And uh yeah, I think that, youknow, I I still think that right
now is still a good time to buy.
It's still a good time to sell.
Uh, you know, here in centralOhio, like the, you know, the
data that you were talkingabout, um, you know, we still
are, you know, increasing everyyear with uh, you know, with the
prices, you know, with averagehome prices, uh, with days on
(25:23):
market, you know, yes, that didincrease a little bit, but uh,
you're seeing that all over.
But our days on market here incentral Ohio are nothing
compared to, you know, othermarkets uh around the country.
Yeah.
And, you know, and are we dohave that built-in like three to
four percent appreciation yearover year, you know, because we
(25:44):
do have such a a strong uhmarket here.
So you know it's not just atagline, it really is, you know,
like if it fits for youfinancially, now is the best
time to buy yourself.
SPEAKER_00 (25:56):
Yeah, you know, I I the other day I was talking to
someone about this too.
And, you know, because likethey're like, hey, is now a good
time to buy?
Um and here's what I wouldhere's what I've been telling my
buyers is like, listen, I uh youknow, I'm a mortgage lender, I
get paid when people buy houses.
So I'm gonna say it's a goodtime to buy, of course, right?
But but here, but here's what Ihere's the truth is um my buyers
(26:16):
today um have more choices thanthey've had in the last five
years.
Um so if you think having morechoices is a good thing, then
that's the market right now.
Um is it the right time for you?
I don't know.
You know, I don't know what'sgoing on in your specific
situation.
(26:37):
Um, and you know, so it may notbe the best time to buy for you,
but I I think right now buyersin this market today have more
choices than they've had inyears.
And so that's that's my that'skind of what I'm talking to
people about is you know, let'slook at the let's look at all
the opportunities that you have.
Um and once again, from aseller's perspective, you know,
homes are still selling andthey're still selling really
(26:59):
with really good values.
So um I just think it's it's itthere's opportunities on both
sides of the fence.
Um you just gotta have, youknow, a good team and a good
strategy.
Um and you know, positionyourself well.
But but yeah, that that's that'smy two cents on them.
It's a good time to buy.
I think there's just morechoices now than there's been in
a long time.
SPEAKER_01 (27:18):
Yeah, I love that.
I totally agree.
Uh and you know, I know that youand I both are always, you know,
working with each personindividually.
And uh, you know, it's not it'snot a numbers game to us, you
know, like our people are notnumbers, they are people.
And, you know, I know that youand I both have had
conversations with buyers orsellers and just, you know, uh,
(27:38):
especially buyers though, youknow, just saying, like, hey,
let's look at your at yourstory, like what's going on
right now in your life.
And, you know, and I know youand I both have had
conversations with people wherewe're like, yeah, okay, like I
love that you have this goal oflike purchasing, but it doesn't
seem like it's the right timefor you right now.
So like let's, you know, let'scircle back uh, you know, in six
(28:00):
months or whatever, and youknow, like let's work on XYZ and
make sure that it makes sensefor you because, you know, like
I said, people are not numbersto us, they are actual people
living, you know, lives.
And we want to make sure thatthey're setting themselves up
for success.
So 100%.
SPEAKER_00 (28:18):
Yeah.
I I once once again, that's Ithink one of the reasons we work
so well together.
And um yeah, I you know, uh,once again, I think we both
we've said this multiple timesin this podcast.
We want to be able to sleep atnight, right?
So we want to make sure, yeah,when we're when we're we're
setting someone up, we'resetting you up for success.
Um, so yeah, I think that Ithink that's always the goal,
right?
And kind of just once again,with everything else we just
(28:38):
talked about, like getting agood team, getting a strategy in
place, um, you know, gettingeducating yourself, um, and then
and then you make the make youmaking the right decision for
you and your family based on allthat, you know, all those
factors.
Um and so, but yeah, yeah, yeah.
We we love to help.
Um, and uh hope hopefully, youknow, if you're listening to
(28:59):
this podcast or watching this,um, this information is helpful.
SPEAKER_01 (29:04):
Yeah, I love it.
And um speaking of informationbeing helpful, uh, Brendan and I
also created a master course,um, a masterclass for first-time
homebuyers.
And it really like we've taughtthe first time homebuyer class
uh so much that I think each ofus could teach the other ones a
portion.
Um and we could probably do itin our sleep.
(29:25):
But uh, you know, if you'relistening to this and you're
like, man, this is such greatinformation.
How do I get started?
What do I need to do?
Uh, there's always a link uh inevery uh description of the
podcast.
Um so even if you don't go tothis one, you can go to any of
them.
There's a link in there thatwill take you to the
masterclass.
Uh, it is free, um, you know,because we want you to get the
(29:47):
information that you need sothat you feel empowered on your
home buying journey.
So um make sure you check thatout.
But thank you so much, Brendan,for taking time out of your
schedule.
I know you're getting ready tohop on a plane and and Set away.
So I really appreciate youtaking the time.
SPEAKER_00 (30:03):
Of course.
Anytime.
I can do it in the air, youknow, if we need to.
So, you know.
SPEAKER_01 (30:08):
I love it.
I love it.
Well, thank you so much.
And thank you for tuning in tothis week's episode.
Hopefully, you found uh some ofthis information helpful.
And uh, you know, don't forgetthat there is that master class
if you are looking for a way tojust kind of understand the
whole process.
So make sure that you are likingand subscribing so that you
(30:28):
never miss another episode.
So we'll see you next time onCome to Find Out.
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