This is a YouTube video titled "All about Expectations for Modern Homebuyers" created in January 2023. The content is a monologue or presentation discussing the impact of economic factors such as Covid, government bond purchases, inflation, and mortgage rates on the housing market and home buying decisions. It provides insights into the fluctuating affordability of homes and advice on mortgage rate strategies. There is only one speaker presenting the information.
For modern home buyers, it's all about expectations. These days. Pre Covid, things are pretty normal. Covid happened and the whole world changed. The government bought up bonds to keep the economy afloat. When bonds were super strong, mortgage rates reached record lows and it made home buying affordable for so many people. So home buyers were buying up houses for more and more and more because they didn't care so much, because the rates kept the payment affordable. But as house prices kept going up, that meant inflation went up. Inflation goes up, mortgage rates go up. Now the houses aren't so affordable. Home buyers paused and that meant home builders paused because they don't have buyers to to put in their new home. So we're still way short on invent, I don't forget that. But as things have paused, that means inflation is getting back under control, which means mortgage rates are getting back lower and lower. But as rates get lower, well then the buying frenzy starts again. There's so much pent up demand right now. And that's the thing you have to keep in mind so you can pick your path here. There's a pendulum swinging back and forth. Either you buy the house at record highs when the rates go down, or you let the rates go a little bit higher and buy a better deal on the house. But keep in mind the rate, and we preach every day, get the best damn deal on your rate. Where that's why we're half a whole percent lower on rates compared to your typical bank and lender. Our rates are going to be better probably in six months, but that means the house prices are going to be more. So do you want to lock in the best deal in the house today and refinance till you had a better deal in the future? That would be the best of both worlds.
