On The Market

220: Top Lenders Share “Good News” for Mortgage Rates + Trending Investor Loans

May 27, 2024

Top lenders Caeli Ridge, Krystle, and Kenny Simp discuss the hopeful trend of mortgage rate relief, the best investor loans, and strategies for boosting ROI. They cover loan products like DSCR loans and HELOCs, warning against potential surprises for adjustable-rate mortgages.

40:09

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Episode guests

Kenny Simp

Krystle

Caeli Ridge

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Episode notes

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Quick takeaways

Mortgage rates are lower for primary residences in the low to mid sixes and higher for investment properties in the low sevens to seven and a half.

Rate decreases have not occurred as predicted due to economic factors and job market considerations, with positive trends like reduced loan spreads offering partial relief.

Understanding the association between 10-year bond yields and mortgage rates is crucial, with a decreasing spread impacting rates beyond direct Fed influences and a rise in interest in HELOCs signaling potential inflation risks.

Deep dives

Current Mortgage Rates and Trends

Mortgage rates, fluctuating over recent months, show lower rates for primary residences around the low to mid sixes, while investment properties incur around a 1% higher rate in the low sevens to seven and a half. Commercial rates are maintaining around the mid sixes range, influencing investors to lean towards acquiring apartments given the favorable interest rates.

Introduction

2min

Analysis of Current Mortgage Rates and Future Predictions

9min

Optimizing Real Estate Investments with HELOCs and Selective Lending Practices

5min

Navigating Challenges in Commercial Loan Refinancing

8min

Real Estate Investment Tools and Strategies Discussed

3min

Maximizing Property Potential with Accessory Dwelling Units and Strategic Lending Practices

11min

Importance of Working with Experienced Lenders and Staying Informed on Mortgage Rates

3min

We may be close to some serious mortgage rate relief, according to today’s panel of top lenders. With interest rates finally starting to slide after cooling inflation and lackluster job growth, investors are gaining hope that we could see more affordable mortgage rates resurface after a very harsh past two years. So, what could come next? Stick around because we’ve got mortgage rate predictions and the best investor loans to look for coming up in this episode!

Caeli Ridge, Krystle, and Kenny Simpson, our expert investor-lenders, are back on the show to give their take on the commercial and residential mortgage space. All are feeling a bit more optimistic as we see rates finally trend into the six-percent range for primary residence homebuyers, with rates up another percent or so for investors. But with today’s mortgage rates still relatively high, which loans should investors use? From DSCR loans (debt service coverage ratio) to HELOCs (home equity line of credit), construction loans, and more, we’ll get into each of these loan products and share which ones investors are taking advantage of today.

Plus, if you’re struggling to find cash flow in today’s tough housing market, our lenders offer some simple but significant solutions to boost your ROI and help you build your portfolio. Do you have an adjustable-rate mortgage? If so, you MUST heed our commercial lender’s words, as you could get a surprise increase in your monthly mortgage very soon.

In This Episode We Cover

Top lenders’ mortgage rate predictions and updates on today’s rates

Why mortgage rates haven’t fallen faster and why there’s hope on the horizon

Trending loan products investors are using to build their real estate portfolios even with high rates

Why commercial lenders are getting cautious and starting to deny this one type of loan

ADU (accessory dwelling unit) lending updates and why it could be easier to get ADU funding soon

How to boost your cash flow and maximize your ROI WITHOUT buying more properties

And So Much More!

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