Over the past three years, the cost of living has increased substantially. Prices rose by 9.1% in 2022, 3.3% in 2023, and 3% in 2024. Just like American consumers, mortgage lenders are facing a cost crisis of their own. As of 2023, the average cost per loan was nearly $12,500. As loan origination costs rise, lenders’ profits are dwindling. During … Read More
2024 has been a defining year for the mortgage industry. While it began with many of the same challenges as 2023 – high mortgage rates, prohibitory housing prices, and limited inventory – it also ushered in key changes, including two interest rate cuts, several regulatory shifts, and a presidential election. As the year comes to a close, many mortgage professionals … Read More
In a lending landscape where borrowers are hard to come by, it’s important to focus your lead generation efforts where they’ll have the greatest impact. Currently, the most promising subset of prospective borrowers are first-time homebuyers – they makeup 35% to 48% of all new purchases and 8% to 12% of all refinances. Below, we’ll explore the key aspects of … Read More
With two interest rate cuts and a presidential election, 2024 has been an eventful year for the mortgage industry. The Federal Reserve’s recent rate cuts signal a welcomed shift in monetary policy. However, some of the next administration’s proposed policies may reignite inflation, causing interest rates to climb back up again. According to Realtor.com’s senior economist Ralph McLaughlin, “While we … Read More
This article is an excerpt from our full “Beyond Traditional Borrowers: How Mortgage Lenders Can Embrace & Attract Diversity” Guide. To access the full guide, click here. Financial advisors often stress the importance of diversifying your investment portfolio. By spreading your investments across different assets, you minimize your risk and protect your returns amid unexpected market conditions. When it comes … Read More
With interest rates declining and additional rate cuts on the horizon, the housing market is slated for a resurgence. Lower rates should enhance affordability and increase inventory very soon, but are your borrowers ready to seize this opportunity? In the coming months, many potential homebuyers may apply for mortgages, only to discover that their poor creditworthiness and elevated consumer debt … Read More
