Dustin Owen reveals myths, red flags that plague the loan community
For the a recently available bout of The borrowed funds Officer Podcast, hosts Dustin Owen and you will John Coleman sit to expose well-known mortgage world mythology that may feeling visitors about mass media so you’re able to recruiters and department executives.
To start the fresh new episode, Owen dives on mass media misconceptions concerning Federal Reserve’s interest rate slices as well as their affects with the mortgage prices and you may domestic conversion process. The guy and you may Coleman agree totally that there isn’t any lead correlation anywhere between benchmark rate change and mortgage speed fluctuations, even after preferred viewpoints on the contrary. Owen demonstrates to you your Given make a difference to the latest exchange off financial-backed bonds (MBS) by purchasing them, which drives up the prices of securities if you find yourself minimizing output and you will financial cost.
What is sad is always to come across a lot of home loan businesses, lenders, real estate professionals, or talking minds on tv use you to because the clickbait, Owen states. However it is badly training the user because they’re remaining to believe this option leads to the other.
The duo concur that employers will be run syncing having candidates to your five- so you can eight-12 months needs, and so they should look to have commonalities between a good candidate’s community requirements together with lender’s a lot of time-identity gains trajectory
Next myth treated concerns what they label the excessive use away from 29-12 months mortgage loans in the housing industry. Each other servers show just a bit of records on their homeownership record, highlighting the truth that neither of those have owned a home one rationalized a thirty-year financial commitment.