Morning! This is MF Lending - the fool-proof way to serve up mortgage and real estate market knowledge without any of the guesswork. So you’ll look like the smartest agent in the room (and you are!)

Here’s what we’ve got for you today:

1. News This Week 🗞️

2. How the bond rally affects client’s payments 💵

By the way, last week’s Fed Coffee Corner is the most clicked link in this newsletter, you should check it out if you are interested.

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Rates Today 📉

News This Week 🗞️

Last week the market saw a blockbuster bond rally and a wave of economic news shifting the entire interest rate landscape.

This week should be much less volatile.

Nov 6th-10th doesn’t post much economic news outside of a 10-yr Note Auction from the Fed (which rarely moves the needle).

We will also hear speeches from several Fed presidents that will, most likely, be reactions from last week’s jobs data and expectations for the Fed to hold rates steady next month.

For clients considering putting in offers on homes from over the weekend, they should see some consistency in rates throughout the week during the negotiations.

How the bond rally affects client’s payments 💵:

I posted this Reel on Thursday - showing how the rates falling affects monthly payments.

Here is an updated breakdown (if you want to see more like this follow me @mf.lending on Instagram):

In one week, the bond market rose over 200 bps - that equates to about .75% in mortgage interest rate. A massive swing for clients making offers on homes over the weekend.

Here are the estimated payments for a client with a 10% down payment:

Clients that may have been on the fence over the last two months, should see much needed relief on the estimated monthly payments. Additionally, I am consistently seeing clients get 1-2% of the purchase price in credits from sellers (especially builders) trying to incentivize them to purchase.

2-1 temporary buydowns, permanent rate buydowns, or the combination of both are more popular than ever - if you have clients interested in seeing these comparisons they can email me at [email protected] and I can run a “Second Look” for them.

The Cul-de-Sac

Thanks for reading - that is all we have for today 😎

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— Michael F DiLucchio