Automatic Workflow, POS, IRS Verification Tools; 2025 Conforming Loan Limits Begin 1/1

“Rob, my borrowers would be really happy with rates below 7 percent. When will we get there?” A wise economist with the MBA once told me, “If you’re going to give a number, don’t give a date. If you’re going to give a date, don’t give a number.” Probably early next year. If I could predict rates precisely, I’d be writing this from a sleepy village on a beach in Mexico. Depending on where the home is, maybe the focus should be more on obtaining homeowner’s insurance at a reasonable level. Everyone is talking about how delinquencies are following mounting insurance costs! Per HomeLight, nearly half (46 percent) of the people out there say that buyers and sellers are hoping for interest rates to drop to between 5.75 percent to 6.00 percent before they make a move. Homeowners are borrowing nearly 50 percent of their equity for three main reasons: Debt consolidation (88 percent), home renovations (79 percent), and purchasing another property (55 percent). However, homeowners have tapped into equity for some far-fetched reasons, too: loan officers reported clients using their equity to buy a helicopter, cosmetic surgeries, and fund food truck, bouncy house, and sheep herd fire abatement businesses, respectively. Writing a daily Commentary pales in comparison. (Today’s podcast can be found here and this week’s are sponsored by Truework. By connecting every verification method into one platform, Truework helps lenders eliminate process disruptions, maintain a competitive borrower experience, and reduce the fiscal impact of verifying income. Hear an interview with Socotra Capital’s Chris Baumann on hard money lending 101.)