michael No Comments

Our Latest Corespondence

Good Morning ,
Just reaching out….we haven’t spoken in a bit and hope all is well with you and yours. As we all know, rates have moved up, but the purchase volume appears to be holding across all price points in our Southern California. With that said, if a property was priced unrealistically based upon comparables, condition of the property etc, the price will have to probably be reduced before it sells. Regarding refinances, even though the rates have definitely moved up, they are still very appealing and can make economic sense based on projected holding period for the property, cash out for remodeling instead of using liquidity, and so many other life events that may need cash infusion. An important overview is that real estate has many of the attributes of institutional savings. There is increasing “talk” about a stronger economy with inflationary pressure, which in most cases extrapolates to hedging one’s finances by buying hard assets such as real estate and investment properties, obviously no one knows… stay tuned.
Wishing you and yours Happy Holidays and a wonderful 2017 full of joy and happiness.
Personal Regards,
Gloria & Curtis
Inline image 1
michael No Comments

November 17th Market Update

The language at the Fed meeting this morning references improvements across the board in the overall economy, although the comment was made ‘they’ could be more robust. The takeaway factor was the expectaion of inflation. Historically this inflation language triggers many to buy real estate as a hedge.

Extreme Market volatility with the bond markets— which is the driver with interest rates. No one expected rates to be jumping the way we are experiencing but the election triggered this chaos. Long term, the issue is the Fed’s decision with interest rates. In reality, the feeling is that one rate hike should be enough to return the policy to neutral and December seems to be the target. It is proposed that we will see medium term growth in the economy due to Trump’s infrastructure spending…

Stay tuned!

November 17, 2016