This is a YouTube video titled "Market Update 9/29" containing a market commentary from October 17, 2022, discussing recent increases in mortgage rates, the impact on loan programs, and advice for buyers navigating the current economic conditions. The content is a monologue by a single speaker providing financial insights.
With the bond market getting hit hard lately, mortgage rates have went up to yet a little bit higher level and they're approaching the 6, 7% range, which is the highest in a few decades. But not all doom and gloom. It's just important to keenly navigate through today's market. So it's not just the fact that mortgage rates went up, but its risk levels went up and that's why rates are higher now. This really impacts the outlier loan programs, the low credit score, the bank statement, no income doc i10 loans, those are always been, you know, always have been a little bit riskier. But now in a risk skier economy with affordability issues because of inflation, you know, everyone's budgets are a little bit tighter and investors know that. So that's why they either are maybe not required or not allowing the lower down payments on some of those programs. They want a little bit more upfront to ward off that risk or they won't let you go as high on the debt to income. So those are the things to keep an eye on. Or if you're a buyer that's shopping at the high end of your affordability or your pre approval amount from a few months ago, you really want to get that refreshed and double checked because as those interest rates go up, that cuts into your buying power. So not a scary time, just a very good time to be in tune with what's going on in today's market.
