Houston nation's top multifamily-market!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Houston nation's top multifamily-market! Houston is the nation’s top “buy” market for multifamily real estate, according to a new report released by Ten-X Commercial. Ten-X Commercial, a commercial real estate sales platform based in Irvine, California, found that Houston’s projected rental unit rate increased and falling vacancy rates beat all other markets studied. By 2022, Houston is projected to see apartment rents increase by 15.9 percent, while vacancies are expected to decline by 150 basis points to 4.3 percent. The average effective apartment rent in Houston is expected to reach $1,183 by 2022, the report said. Houston nation's top multifamily-market! Houston’s anticipated rent increases were 4.4 percent higher than what was projected for Las Vegas, the No. 2 “buy” market in the United States, according to the report. Raleigh-Durham, North Carolina; Atlanta; and Salt Lake City rounded out the rest of the report’s top five “buy markets.” The report noted that the Southwest region leads the nation in apartment buying activity, with Texas being the “clear standout.” The report attributed Houston’s strong multifamily real estate market to the city’s resurgent energy sector, which Ten-X Commercial said has aided the local economy and boosted apartment rents. “Millennials are a large reason why the current rental market is thriving,” said Ten-X Chief Economist Peter Muoio. “Though we expect homeownership in this important age group to increase over the long term, so far they remain focused on renting.” Houston nation's top multifamily-market! The report's projected uptick in the multifamily real estate market falls in line with similar projections made by local multifamily experts. While rental rates in Houston have remained flat in recent years, many Houston-based brokers have been optimistic about what the near future might hold. Last month, Clint Duncan, senior vice president of CBRE’s (NYSE: CBRE) capital markets multifamily group in Houston, said Houston’s strong job market and growing population are helping to fuel demand for apartments. On the other end of the scale, Ten-X Commercial’s report named San Jose, California, the nation’s top “sell” market. San Jose’s average effective rent is expected to decline 1.9 percent to $2,521 by 2022. Meanwhile, the city’s vacancy rate is expected to increase by 240 basis points to 6.8 percent. Like other San Francisco-area cities, San Jose’s multifamily real estate market has struggled amid a volatile tech market and an excess in available units. Houston nation's top multifamily-market! Other top “sell” markets include Oakland, California; Miami; San Francisco; and Milwaukee. Overall, the report attributed the nation's strong multifamily market to a decline in the number of new rental properties coming to market, which helped to keep vacancy rates flat. The report also found that homeownership has plateaued at 64.3 percent. “With mortgage rates and home prices still elevated, homeownership remains unattainable for many Americans,” the report said. “This allows for the rental market to remain largely unthreatened and strong, despite the slight uptick in homeownership.” Houston nation's top multifamily-market! That is all for today folks from the Heartfelt & Hot In Houston Blog, make it a great day! The inspiration for today’s edition came from this original article: https://www.bizjournals.com/houston/news/2019/08/12/houston-nations-top-buy-market-for-multifamily.html If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: http://www.HoustonRealEstateBrokerage.com https://mortgageviking.billrapponline.com/ https://highcostarea.billrapponline.com/ https://commercial.billrapponline.com/ https://renovationvideo.billrapponline.com/ https://doctorvideo.billrapponline.com/ https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com/ https://fha203h.billrapponline.com/ https://privatemoney.billrapponline.com/ https://rei-investor.billrapponline.com/ https://caliberhomeloans.com/wrapp https://onlineapp.caliberhomeloans.com/?LoanOfficerId=21493 https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg https://twitter.com/BillRappRE https://www.billrapponline.com/ https://www.zillow.com/lender-profile/BillRappMortgageViking/       Read the full article

Rental Housing Crisis!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Rental Housing Crisis! If you’re struggling to make that happen, you are not alone. According to Edison Research, over 62% of renters are concerned about being able to make the rent. Welcome to the newest symptom of the coronavirus: the 2020 Rental Housing Crisis. With over 43 million renters nationwide, the rental market makes up nearly 40% of all housing in the USA, where at least 20 million jobs were lost in April. While out-of-work renters scramble to make their payments, landlords are wondering how to service an avalanche of debt and unpaid taxes. Rental Housing Crisis! Congress has included relief for homeowners with government-backed mortgages, as part of the $2.2 trillion rescue package that passed in March - but what about the rental marketplace? In Maryland, Governor Mark Hogan has declared a state of emergency due to the coronavirus, effectively stopping all rental evictions and repossessions in his state. But in Arkansas, Ohio, Georgia and 20 other states, there are few protections for renters, according to Bloomberg News. In Philadelphia, Bloomberg reports that Shane Riggins, age 31, has joined a movement to boycott rent payments. He’s been able to make his payments for April and May, but since losing his job at a local law firm, he’s unsure about what to do next - will he have enough money to weather the storm of this financial crisis? He says, “Every time I pay rent, it’s taken immediately and given to a bank. Is that really, in this crisis, the best use of money?” Unemployment numbers are escalating as workers in the restaurant industry, travel, tourism, retail and other scorched markets are wondering where the rent check is going to come from. Princeton University has put together a state-by-state scorecard, featuring the number of renters in each state as well as a rating for current housing policies. While many states are slowly reopening the economy, places like Los Angeles County have introduced additional stay-at-home orders. But opening the economy introduces its own set of risks, which go far beyond a few missed payments. Unfortunately, we remain in the dark regarding so many aspects of the coronavirus. Balancing economic concerns with medical guidance is an even bigger challenge than these housing issues. Meanwhile, renters and landlords are getting crushed, with little relief in sight. Rental Housing Crisis! The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/chriswestfall/2020/05/13/why-renters-and-landlords-are-getting-crushed-the-rental-housing-crisis-has-arrived/#4f3766797eee If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Real Estate Can Rebound!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Real Estate Can Rebound! A little over a month ago, when the coronavirus outbreak was in its infancy, most of us couldn’t have anticipated where we would be today. How quickly things can change… Over a matter of weeks, as we all seclude and adhere to social distancing, I have seen the U.K.’s mighty and mercurial housing market come to an almost complete standstill–a phenomenon in itself as unprecedented as the circumstances we now face. Quite the turn of events from the start of the year when multiple people, myself included, predicted that 2020 would be a stellar 12 months not just for the housing market, but for many industries welcoming renewed public confidence and a willingness to spend. It’s been a bit of a rollercoaster. But like a rollercoaster, there are lows and highs. During the Great Depression, a number of businesses that made their name are now household icons in the modern day. They achieved this through a readiness to deliver solutions as and when people needed them. Real Estate Can Rebound! The market is certainly ready for it. In the opening months of 2020, the housing market was quickly gaining momentum as pent-up demand held back by Brexit and the third general election within five years unfolded to reflect a period of much anticipated growth. At least, according to the latest Nationwide House Price Index, house prices were at some of their highest in March, averaging £219,583 after demonstrating six months of consecutive gains, with 3% annual growth overall. After several years of subdued demand, the market was primed for the good times ahead. Then along came a virus that sat down inside us and frightened the market away… A short, sharp shock? The pace with which life has changed has been extraordinary, and it’s had a corresponding impact on the global economy as businesses and financial markets adapt their survival strategies to ride out the next few months. It’s a scary time for many businesses, and particularly so for estate agents, who have seen much of their day-to-day capabilities diminish as the housing market is put on ice. The good news for those fearing a deep and dark recession is that, although this is the fastest market plunge in history, it is not the deepest. That infamy lived and died with the market crash of 1929. A key difference between the circumstances behind the Great Depression and what’s happening today is that the financial system melted down during the stock market crash. Our contemporary financial instruments have thus far held steady. Add this podcast from the folks at Marketplace to your work-from-home playlist for a better understanding of how the circumstances differ. On that note, neither is what’s happening today comparable to the 2007-08 Great Recession. Both operate under very different scales of risk, with the financial meltdowns of both the Great Depression and the Great Recession considered as endogenous–as originating from inside the system–by the World Economic Forum. In contrast, the COVID-19 pandemic is considered as exogenous–as originating from outside the system. These usually come as a surprise and there’s little we can do to anticipate such an event, which can cause huge damage. Our financial systems are nevertheless usually well versed at absorbing exogenous shocks, as this chart from Rothschild & Co shows (see Growth: major economies), business optimism and economic projections have not descended as yet to the depths reached during the 2007-08 financial crisis. A cause for optimism would be the coordinated humanitarian responses of many governments worldwide to lockdown their populations and introduce social distancing policies, all to “flatten the curve” of the coronavirus pandemic. The good news for the U.K. is that our efforts appear to be working exceptionally well, as displayed in comparative data from the John Hopkins University. In China, ground zero of the outbreak, a recovery appears to be in motion, with people returning to work and the wheels of their economic infrastructure starting to turn. It’s an encouraging sign for the U.K.’s road to recovery over the coming months. Real Estate Can Rebound! Looking at the housing market in particular, the damage thus far has been painful and extensive, but a research outlook from Savills using recent data from Oxford Economics projects that while a short, sharp contraction will see U.K. GDP fall 2.5% in the second quarter of 2020, it will rebound 1.8% in the fourth quarter. During this time, Oxford Economics predicts that the 0.1% interest base rate will remain until at the earliest fourth quarter of 2021, rising to 1.5% as we near the end of 2024. Conditions that will support growth during the recovery. The outlook from the financial advisory Rothschild & Co is that this too shall pass, and that the rebound may be as sharp as the downturn if the drop is as such an overreaction to what’s occurred. The key takeaway is that whilst we face an immensely difficult period, the light at the end of the tunnel is brighter and closer than it appears. Tomorrow belongs to the ready With a view on that recovery, there is much that estate agents can do to survive this downturn and be ready to thrive when the recovery begins. And more so than at any point in history, we live in a solutions-driven society, where technology has the potential to lead the way. Yes, the current options are limited during this lockdown. I reviewed just last week the few remaining avenues available for buying and selling during this crisis. Yet there have been some standout glimmers of accomplishment through this ordeal from agencies best able to adapt to the circumstances. One prime example of this has been through virtual viewings and live walkthrough video tours. Showing that for adaptable agencies there is still business that can be achieved, and more importantly, a means for homeowners or those looking to get on the ladder to consider their options for when life resumes, hopefully within the next few months. Most of us–barring the exceptional essential workers braving each day on the NHS frontlines and in warehouses, shops and delivery services to keep us all fed and well–are working from home. For agencies this means shifting resources almost exclusively to digital channels. And in this there are many PropTech (Property Technology) solutions available that can assist both agencies and their clients through this period. As virtual viewings and live video walkthroughs are still permissible, PropTech solutions such as Focal.Agent and Viewber are readily providing means and advice with which to showcase property for purchase or sale when the housing market reopens in the months ahead. Furthermore, with a continued online presence and engagement key to developing and nurturing potential business, marketing intelligence and solutions to maintain communication and the flow of valuable information to buyers and sellers is absolutely vital. The services of platforms such as ActivePipe, BriefYourMarket, Dataloft, and TwentyCi could be a boon to future business, and they’re providing some really useful insights on how to engage with clients. Whilst activity may have slowed significantly at present, when it starts up again agencies that have best positioned themselves front-of-mind of their potential clients will be first in line to assist with their home buying or selling. Just as occurred during the Great Depression, when certain companies achieved astonishing success, businesses best prepared to deliver useful services during the inevitable bounce-back stand to gain significant growth and success. In today’s epoch that spotlight shines brightly on companies such as Amazon, which has positioned itself sort of as a new Red Cross–delivering essential goods to people stuck at home during this time of crisis. Where they stand to gain especially is in changing the consumer habits of people who never previously used Amazon. Humans are creatures of habit and convenience; once they find a better solution, they stick to it. Agencies that are ready to educate, prepare and represent their clients for the inevitable rebound stand to gain the most from the hotpot of pent-up demand. New beginnings are often disguised as painful endings Looking at the suddenness and impact of the coronavirus on the housing market, I am reminded most aptly of Newton’s Third Law – for every action there is an equal and opposite reaction. The Great Depression and the Great Recession lasted as long as they did because the long-term build-ups to their respective financial crashes compounded the damage and undermined the financial systems’ capability to quickly rebuild. But this is a very different theatre, and it is my hope and belief that as sharp and painful as this period is, it heralds an equally rapid and restorative period of growth in the years ahead. The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/garybarker/2020/04/03/building-success-from-disaster-how-real-estate-can-rebound/ If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Harder to get a mortgage?

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Harder to get a mortgage? Mortgage rates have fallen back to recent lows, and though homebuyers aren’t exactly banging on the doors during the spring housing market amid the coronavirus crisis, there are some hardy ones out there in the hunt. And there are still plenty of current homeowners who could save money through a refinance. Unfortunately both types of loans are now harder to get as the mortgage market is badly battered on several fronts due to the impact of the pandemic on the economy and employment. Mortgage credit availability in March fell to the lowest level in five years, according to a survey by the Mortgage Bankers Association. Lenders cite a large drop in liquidity, as investors in jumbo mortgage-backed bonds pull back. Jumbo loans are those valued above the conforming loan limit of $510,400. The inspiration for today’s edition came from this original article: https://www.cnbc.com/2020/04/13/coronavirus-why-its-suddenly-much-harder-to-get-a-mortgage-or-even-refinance.html If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Housing Market Update From-Realtor.com!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Housing Market Update From-Realtor.com! Here is the latest housing market update from realtor.com. As expected COVID-19 hit the nation’s housing market hard in April. Last month’s data illustrates the real time impact of coronavirus. According to realtor.com new listings fell almost 45 percent in April compared to last year. Typically, April is the kick-off to a robust Spring buying season.  The lack of new listings combined with sellers taking homes off the market all contributed to a new April low for inventories. “I see the pace ahead as a slow rebound for the housing market,” George Raitu, realtor.com’s senior economist. The total number of homes for sale across the U.S. was down 15.3 percent year-over-year. April’s drop in inventory amounted to a loss of 189,000 listings compared to this time last year. “Coronavirus keeps sellers on the sidelines,” explains Raitu. Housing Market Update From-Realtor.com! As popular as virtual home tours are for browsing it’s clear most buyers want to see and experience a home in real time. Since traditional showings and open houses remain a thing of the past right now expect to see Days on Market increases around the country.  Additionally, social distancing measures combined with stricter mortgage lending criteria potentially extend the days a property sits on the market. Consider that pending home sales dropped 20.8 percent in April from the prior month. This was the largest monthly drop since 2011. Home prices in April started showing the impact of COVID-19. Forty-seven of the country’s largest 50 metros saw prices drop. Though those drops weren’t in double-digit territory, it’s not encouraging news. Areas with the sharpest declines were Dallas-Fort Worth-Arlington, Texas (-5.7 percent); Seattle-Tacoma-Bellevue, Wash. (-4.5 percent); and Chicago-Naperville-Elgin, Ill.-Ind.-Wis. (-4.4 percent) for the Check back soon for more market updates. The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/ellenparis/2020/05/08/latest-housing-market-update-from-realtorcom/ If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Mortgage interest rates as-low-as-2.5%

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Mortgage interest rates as-low-as-2.5% The average interest rate for a 30-year fixed mortgage currently sits at approximately 3.25%, which is just a few basis points off the all-time low set two weeks ago. However, customers of the nation’s second-biggest lender could soon receive an interest rate well below 3%. United Wholesale Mortgage announced Tuesday that it is rolling out a new loan program that offers borrowers an interest rate as low as 2.5% for both purchase mortgages and refinances. UWM is both the nation’s biggest purchase mortgage lender and the largest wholesale lender, meaning it doesn’t lend directly to borrowers. UWM works directly with mortgage brokers, who can in turn offer these low rates to their customers. “Some people said we’d never see interest rates drop below 3% on a 30-year mortgage, but it’s now available when borrowers work with an independent mortgage broker,” UWM President and CEO Mat Ishbia said. “We believe that the housing market is going to be strong and we want to do our part to help more people get into their dream homes as we get through this pandemic together as a nation.” Mortgage interest rates as-low-as-2.5% Ishbia announced the new lending program in a Facebook Live post, which garnered more than 6,000 viewers as it streamed live. In the video, Ishbia talked about how UWM now expects to see the purchase market “coming back strong” in June, adding that UWM wants to put mortgage brokers in a position to “get more customers than ever before.” According to Ishbia, the new program’s low interest rates are more than a full percentage point lower than what was available to brokers just one day ago. “I’m proud to announce a program that’s going to change the game,” Ishbia said in the video. But Ishbia was quick to caution that the loan program is not available to all borrowers, nor are all borrowers a fit for the program. According to UWM, the sub-3% interest rate will be available on conventional loans, both purchase and rate and term refinances. But the program is not available for cash-out refis. Mortgage interest rates as-low-as-2.5% Additionally, the program is not available on investment properties. And perhaps most importantly for mortgage brokers, the program is not available to any borrower that has received a loan through UWM in the last 18 months. According to Ishbia, the “Conquest” program is about enabling brokers to go after new customers, even ones that a broker lost to another lender just weeks ago. According to Ishbia, UWM is setting a maximum interest rate lock period of 22 days for this program. And any broker who seeks to extend that lock period will find that to be an expensive proposition. “Brokers that close loans fast are going to dominate,” Ishbia said. “Extensions are going to be very expensive. We’re talking about 10 basis points per day. Relocks are very expensive too. Conquest is not for every loan, but we’re focused on helping you grow your business and dominate.” According to the company, UWM created the program to “help borrowers with affordability and keep the purchase market strong.” By offering conventional 30-year fixed rates in the 2.5 to 2.99% range, UWM said that it “intends to increase demand for homes and spur a strong purchase season despite the economic impacts of COVID-19 across the country.” Ishbia also noted that other lenders may chase UWM down on mortgage rates, meaning other lenders may push their rates to what UWM is offering or even lower, but Ishbia said that he believes in mortgage brokers and wants them to be as competitive as possible. On UWM’s website, it lists other “key features” of the new loan program, including: * Significantly better pricing * Rates ranging from 2.5%-3.0% including 30-year fixed * Available on purchases and rate/term refinances * Conventional only * Primary and secondary residences * Borrower must not have closed with UWM within the past 18 months * Exact Rate and Flex Term available * Lock anywhere from 8-22 days (UWM average is 11 days sub to CTC) * Not eligible for ASR rewards or L.O. Partner Points * No max comp plan — all brokers eligible “In addition to great rates, best technology and speed, this program is yet another reason why working with an independent mortgage broker makes the most sense,” Ishbia said. “This program allows mortgage brokers to earn new business as the economy begins to return and purchase season takes flight.” Beyond unveiling the new loan program, Ishbia also said UWM will be removing many of its overlays it put in place as the economy sputtered over the last couple months. Mortgage interest rates as-low-as-2.5% The inspiration for today’s edition came from this original article: https://www.housingwire.com/articles/uwm-now-offering-interest-rates-as-low-as-2-5/ If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Introducing Nexa Mortgage LLC!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Introducing Nexa Mortgage LLC! I wanted to reach out and let you know about a lender you can count on. When you have a client who needs a quick closing give me a call! I think I can help grow your business by making sure your clients are happy at closing and obtain a “Stress Free Mortgage.” Here is a quick little video on why I do what I do: CLICK ME Here are some of the programs that I have access to: FHA/VA – Scores as Low as 500 are eligible! Mobile Home Financing – Single Wide and Double Wide! Down Payment Assistance Programs! FHA/VA/USDA/Conventional One Time Close Construction! FHA 203K & Fannie Mae Home Style – Renovation Lending! JUMBO Financing Doctor & Dentist Lending Program Foreign National Loan Program Commercial Mortgage Products & Private Money for Fix and Flips You can also call me on my cell phone after hours if you need to 281-222-0433. Introducing Nexa Mortgage LLC! If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Real Estate Investments For-Diversifying!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Real Estate Investments For-Diversifying! The incredible stock market volatility we’ve seen of late is an important reminder that, when you invest in stocks and mutual funds, you risk seeing a significant decrease in your wealth overnight. If you’re not comfortable with this reality, you could consider augmenting your portfolio with real estate investments. When considering the multitude of commercial and residential real estate investments you could make, it’s helpful to evaluate each based on two criteria: income potential and value growth potential. Loosely defined, income potential is the amount of cash flow you’ll see from the investment on a monthly or annual basis, and growth potential the amount that the real estate asset you’re holding could increase in value over time. For those looking to augment a portfolio, here are three possible real estate investments to consider. Real Estate Investments For-Diversifying! Real Estate Investment Trusts (REITs) REITs are companies that own a variety of residential or commercial real estate assets. As you begin to research REITs, you’ll see there are quite a few different types, from equity REITs, which own residential or commercial properties, to mortgage REITs, which either lend money to homeowners themselves or own mortgage-backed securities. Much like you can buy shares of Apple, you can also buy shares of REITs on stock exchanges. Buying a REIT has significant value growth potential in the long term, but trading REITs to generate short-term cash flow comes with similar risks that you’ll find with trading stocks. This helpful article I recently read about REITs offers much of the detail about why you should at least consider augmenting your portfolio with this investment vehicle. I’d also add that there are some opportunities worth considering in the REIT market right now, particularly as REITs that own residential mortgages went down in value significantly in March. Private Commercial Real Estate Investments In recent years, private commercial real estate investments have come onto the map. Similar to REITs, these investments have significant potential for value growth over time, but are not designed for short-term buying and selling that could generate cash flow. While the current pandemic is having a significant impact on the commercial real estate industry at the moment, it’s worth noting that private commercial real estate’s average return over a 25-year period is 9.4%, according to the National Council of Real Estate Investment Fiduciaries. Investment Properties I’ve written extensively about building wealth through income properties. Here, I’ll just add that with mortgage rates continuing to hover around all-time lows, owning a rental property will continue to be an attractive investment in many U.S. cities. Income properties generate cash flow from renters, as well as value growth as the property’s worth increases over time. I’ve been a landlord for over a decade in Boston, and I can say from personal experience that this double bottom line provides landlords with unparalleled investment stability. And while there’s a lot that goes into maximizing investment property returns, the time and effort spent is more than worthwhile. If you’re already planning to move this spring and you have equity in your current home, you might consider turning the home you’re moving out of into an investment property instead of selling it. You may find that you’re able to refinance your home to afford the down payment on the home you’d like to move into, and begin renting it shortly after you move out. If owning a second property isn’t in the cards, I often encourage hopeful investors to consider putting an addition on the current house or finishing the basement and treating it as an investment property. This type of renovation would certainly add value to your home while generating cash flow through long-term renters or shorter-term vacationing guests. The current economic climate offers an important reminder that putting all of your investing eggs in one basket can result in a bumpy ride. If you diversify your investments across stocks, bonds and mutual funds plus commercial or residential real estate, you’ll put yourself in a better position to weather the bear markets and build wealth more predictably. Real Estate Investments For-Diversifying! The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/forbesrealestatecouncil/2020/04/03/three-real-estate-investments-for-diversifying-your-portfolio-in-2020/#23667d057f37 If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg     Read the full article

Record Low Mortgage Rates!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Record Low Mortgage Rates! The average 30-year fixed rate for a conforming loan fell to a record-low 3.47% last week, the Mortgage Bankers Association said Wednesday. U.S. mortgage rates tumbled to the lowest on record last week after the Federal Reserve slashed its key lending rate and pledged to pump billions into the mortgage bond market to support liquidity. The Mortgage Bankers Association said 30-year fixed rates fell 35 basis points in the week ending March 27 to 3.47%, matching the lowest on record that was recorded three weeks ago, and in early 2012. Record Low Mortgage Rates! The group's refinancing index, meanwhile, jumped 25.5% to 4,781.1 points, although new purchase activity slumped around 10% as the job market contracted and data began to illustrate the depth of the coronavirus damage to the U.S. economy. “Mortgage rates and applications continue to experience significant volatility from the economic and financial market uncertainty caused by the coronavirus crisis," said Joel Kan, the MBA's associate vice president of economic and industry forecasting. "After two weeks of sizeable increases, mortgage rates dropped back to the lowest level in MBA’s survey, which in turn led to a 25 percent jump in refinance applications.” “The bleaker economic outlook, along with the first wave of realized job losses reported in last week’s unemployment claims numbers, likely caused potential homebuyers to pull back," he added. "Purchase applications were down over 10 percent, and after double-digit annual growth to start 2020, activity has fallen off last year’s pace for two straight weeks.” Mortgage applications increased 15.3% from the previous week, the MBA said, while its purchase index fell 24% from last year as buyers stayed home amid coronavirus lockdowns around the country. Last month, the Fed said it would buy unlimited amounts of Treasury bonds and mortgage-backed securities (MBS) "to support smooth market functioning" amid the coronavirus pandemic and historic selling on Wall Street. Record Low Mortgage Rates! The Fed began buying up to $40 billion of agency MBS, issued by Ginnie Mae (the National Mortgage Association), Freddie Mac (the Federal Home Loan Mortgage Corporation and Fannie Mae (the Federal National Mortgage Association), which make up around two-thirds of the overall mortgage market. Record Low Mortgage Rates! The inspiration for today’s edition came from this original article: https://www.thestreet.com/investing/us-mortgage-rates-at-record-lows-as-fed-buys-billions-in-mbs If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg   Read the full article

Unemployment Claims Affect Housing-Market!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Unemployment Claims Affect Housing-Market! As businesses across the United States have been mandated to close their doors in a desperate effort to slow the spread of COVID-19, people have been losing their jobs left and right. Now, we're seeing the first unemployment report since the first "shelter in place" orders, and it's far more grim than anyone had expected. A record 3.28 million Americans filed for unemployment support in the week ending March 21—the most claims ever filed in a single week. “Normally, when an economy goes into a recession it develops slowly over time," says realtor.com® Chief Economist Danielle Hale. "That’s not happening this time around. ... It’s pretty clear that the economy is grinding to a halt pretty suddenly.” Unemployment Claims Affect Housing-Market! It will also be a tough blow to the already wobbly housing market, since those who lost their jobs are not likely to be buying a home anytime soon. Even the millions of Americans who haven't been laid off or lost work yet are likely to hold off on a major purchase, fearing for the stability of their employment. And while ultrawealthy buyers may be insulated from the downturn, they may still balk at plunking down millions of dollars on a property they can't even walk through. In response to this lack of demand, many sellers will likely pull their properties off the market until the crisis passes. However, folks shouldn't expect home prices to plunge by the double digits as they did during and after the Great Recession. In the last downturn, there were many more properties for sale, due to an overabundance of construction and mass foreclosures, than there were qualified buyers. This time around, there is a severe shortage of housing for sale. Builders haven't been putting up enough homes to meet demand for years. And there isn't likely to be a huge wave of foreclosures because borrowers are in better financial shape. Plus, the federal and many state governments, along with some banks, are rolling out forbearance and other programs to help Americans who've lost their jobs stay in their homes. This is all likely to stabilize prices. "Price growth will slow, and it's possible that prices could decline" in certain markets, says Hale. "Folks expecting price declines to happen like they did during the last recession are going to be disappointed.” The hardest-hit areas will likely be those with the highest percentage of jobs in tourism, leisure, and hospitality, the industries most affected by the novel coronavirus. But even in these areas, Hale doesn't expect prices to go down more than 5%. However, sales will slow down as there are simply fewer buyers and sellers in the market. Plus, it's harder to transact remotely. "We will see a shocking drop-off in home sales in a very short period of time," says Hale. They're likely to rebound when the virus is under control, but there will almost definitely be fewer sales this year than anticipated before the pandemic. "We don't know when things will get back to normal," she continues. "But when they do ... we might also see a really strong bounce back." But Americans should expect things to get worse before they get better. Jobless claims will likely remain high until the crisis abates—and that timeline is still unclear. But the federal stimulus package expected to pass, which includes $1,200 checks to most Americans, could help to steady the markets. "All the incoming data will also be off the chart for a few months," Lawrence Yun, chief economist of the National Association of Realtors®, said in a statement. "The key is whether the stimulus package can reverse all these damages by the second half of the year." Unemployment Claims Affect Housing-Market! The inspiration for today’s edition came from this original article: https://www.realtor.com/news/real-estate-news/how-record-u-s-unemployment-will-affect-the-housing-market/ If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Texas Border Economy!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Texas Border Economy! Following increased population growth in 2019, the border communities ramped up hiring in February as joblessness remained relatively low. Average real hourly wages, however, continued to struggle. Housing sales took a step back but maintained a strong upward trend after surging almost 7 percent in January. Inventories tightened amid healthy demand, pushing median home prices to record highs in all of the border metros (except Laredo) and straining affordability. Total trade values accelerated after the ratification of the United States-Mexico-Canada Agreement (USMCA) by all three nations, but the global coronavirus outbreak will undoubtedly have adverse effects on commerce along with many other aspects of the local communities. Preliminary impacts may be present in March data, but the severity of the impact is yet to be determined. The border is expected to be one of the hardest hit areas in Texas, possibly surpassed only by the state's oil-producing regions. Texas Border Economy! Economy Economic activity along the border picked up in February according to the Dallas Fed's Business-Cycle Indices. Payroll expansions and real wage improvement in Brownsville pulled the index up 3 percent on a seasonally adjusted annualized rate (SAAR), while El Paso's metric stabilized at a pace of 4.5 percent. The McAllen index improved for the first time in ten months, rising 1.4 percent. Laredo's metric extended a downward trajectory, falling 1.9 percent, although the decline moderated. While recently released 2019 data revealed the border's resident population accelerated half a percent, growth remained modest compared with 3 percent statewide. The population expansion largely resulted from natural increase (the difference between births and deaths), with negative net domestic migration reported in all four border metros as economic opportunities multiplied in larger Texas cities. International net migration was positive in all but McAllen, but the rate of change declined throughout the border region amid more stringent federal immigration policies. Border nonfarm employment accelerated 1.8 percent SAAR in February, adding 2,100 jobs on top of upward revisions to January numbers. Both El Paso and McAllen employment increased 1.9 percent SAAR, although hiring in the latter showed signs of slowing. McAllen's education/health services extended a strong upward trend while government employment corrected for losses to start the year. However, employment in the goods-producing and transportation/utilities sectors contracted. In El Paso, retail trade and professional/business services led growth in the metro. Brownsville payrolls expanded 1.6 percent as the retail industry gained 500 jobs, recovering half the layoffs incurred during 2019. Additionally, education/health services recorded its 13th consecutive improvement. The same sector, along with professional/business services, contributed to overall job growth of 1.5 percent in Laredo. On the Mexican side of the border, manufacturing and maquiladora employment1 gained 1,400 new employees, tipping into positive SAAR growth territory at 1.4 percent for the first time in five months. Chihuahua and Matamoros accounted for most of the hiring with maquiladora employment increasing 1.9 and 1.1 percent, respectively. Juarez and Nuevo Laredo posted modest gains to start the year, marking the third straight payroll expansion for both locales. However, additional hiring is needed to recover from net contractions in 2019. Reynosa employment also ended the year negative, but meager job growth perpetuated the downward trend. U.S. manufacturing production flattened in February and is expected to plummet in the upcoming months as supply-chains are disrupted by reduced manufacturing worldwide. An additional obstacle to maquiladora employment is the spread of COVID-19 in Mexico, at least in part due to the weak response to the pandemic by the Mexican government. Unemployment rates in the border metros were mostly unchanged. Joblessness in both El Paso and Laredo hovered at 3.8 percent, while the McAllen metric stabilized at 6.4 percent. Only Brownsville's unemployment rate increased, ticking up to 5.7 percent. As joblessness rose in Brownsville, the metro's average real private hourly earnings improved half a percent year over year (YOY). On the other hand, El Paso's real wages declined 4.3 percent, while Laredo and McAllen earnings fell for the second straight month, dropping 1.2 and 2.6 percent, respectively, after increasing every month in 2019. Total construction values rebounded 10.1 percent following a sluggish prior three months but remained below the 2019 average. Most of the growth was attributable to the nonresidential sector, specifically school construction in El Paso. Activity, however, has slowed since peaking mid-2019. On the residential side, decreased single-family values offset improvements in multifamily construction. Single-family activity in Laredo rose but was overshadowed by falling McAllen and El Paso values. In El Paso, apartment construction increased but extended a steep downward trend, while McAllen's two-family sector picked back up after record levels in 4Q2019. In the currency market, the peso per dollar exchange rate steadied at 18.84 after the inflation-adjusted rate2 ticked down for the second straight month. Total trade values passing through the border jumped 1.9 percent as imports to El Paso and Laredo accelerated after stumbling to start the year. Vehicular-related products comprised most of the increase. Border export values mostly flattened except for in Brownsville, where machinery-related shipments corrected downward after surging in January. The port of Laredo's nonseasonally adjusted total trade value exceeded that of the port of Los Angeles to become the top port in the U.S.; after adjusting for seasonality, however, Los Angeles values proved greater. The ratification of the USMCA by all three countries involved should reaffirm North American trade relationships, but supply-chain disruptions and decreased automobile demand stemming from the global coronavirus pandemic will challenge trade in 2020. Texas Border Economy! Housing Although border housing sales fell 2.1 percent in February, the trend maintained a strong upward trajectory after data revisions revealed monthly sales climbed nearly 7 percent the prior month. Laredo sales continued to normalize after surging in 4Q2018 and 1Q2019, declining 1.6 percent. In El Paso, reduced sales for homes priced less than $200,000 offset improvements in higher-priced cohorts, resulting in a 6.9 percent decrease. McAllen sales dropped 8.7 percent in contrast to its Rio Grande counterpart, which posted its third consecutive increase, rising 7 percent. Most of the growth in Brownsville was attributable to homes priced between $100,000 and $300,000. Following a strong start to the year, single-family housing construction permits sank 4.1 percent as issuance in the Rio Grande Valley drew back. Brownsville permits corrected downward 16.6 percent after posting triple-digit permits in January for the first time in more than five years, while activity in McAllen continued to normalize from an all-time high in June 2019. On the other hand, both El Paso and Laredo permits rose around 2 percent each. Private single-family construction values exhibited trends similar to permitting except in El Paso, where the metric extended a four-month downturn. Ongoing decreases in the supply of active listings pulled months of inventory (MOI) down to historical lows almost unanimously along the border. Inventory in the Rio Grande Valley fell to 5.8 months, while El Paso's MOI inched down to 2.8 months. On the other hand, Laredo's metric set a new record high of 8.1 months. Housing demand in Laredo remained healthy as indicated by the average number of days on market (DOM), which stabilized at 56 days. The El Paso DOM shed three weeks off its year ago level, decreasing to 65 days. The drop, however, showed signs of slowing. McAllen's metric continued its steady decline, sinking to 78 days. The average home in Brownsville, however, stayed on the market for 111 days, slightly longer relative to last February. Brownsville's median home price posted a record-breaking $183,600 after modest growth to start the year. McAllen's median price also surged following YOY growth that was less than the 2019 average, rising to $172,900. In El Paso, the metric increased steadily to $172,000. Laredo's median price flattened YOY to $175,900, remaining below the metro's all-time high of $184,800 amid expanding inventory. Moderate home-price appreciation is essential to maintain affordability, one of the border's main attractions, in an environment of low wage growth. Although February data revealed overall positive economic growth, the events of the past few weeks and expectations for the next several months will exacerbate the weak points in the local communities. Industries with great downside risk due to the coronavirus include the border's trade and manufacturing sectors, which are strongly connected with Mexico, where 2019 annual GDP was dismal and forecasts for 2020 growth are solidly negative. Moreover, early projections for the first quarter of the year have been drastically revised from a modest increase to a severe decline in national GDP growth. The first quarter is practically over, so the statistical impact will not be nearly as severe as what the second and third quarter growth rates will be. We are headed into, if not already in, a recession on the national, state, and local levels. The depth and duration of decline are anyone's guesses. The inspiration for today’s edition came from this original article: https://www.recenter.tamu.edu/articles/research-article/Texas-Border-Economy If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://BillRapp.joinnexa.com http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Trends Support Multifamily Growth!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Trends Support Multifamily Growth! As the current economic expansion enters its 11th year — the longest on record — the “when will it end” speculation continues apace. As cap rates hover near historic lows and properties trade for historic highs, the question is particularly relevant for multifamily assets — one of the major beneficiaries of the current expansion. It’s impossible to know when a correction will occur, so taking a long-term view is a smart approach. My belief is that there are three demographic trends shaping the future of the housing market that support the investment thesis of continued multifamily growth. Trends Support Multifamily Growth! The Coming ‘Silver Tsunami A report from the Joint Center for Housing Studies of Harvard University found that a combination of longer life expectancy and a surge of baby boomers entering their retirement years means that, by 2035, 1 out of 3 U.S. households will be headed by someone over the age of 65. This is a population of nearly 79 million people who will require a variety of different housing options. While the majority of this group will be homeowners, there is an increasing preference toward renting. Using data from the United States Census Bureau, Curbed reports that individuals over the age of 55 represented the largest jump in the renter population in the decade following the financial crisis (2007–2017). This cohort grew by 38%, versus 10% for the 54-and-under age group. The 65-plus age group grew even faster at 65%. Whether they’re empty-nesters seeking to downsize, active adults looking for an urban environment or both seeking to avoid the hassle of home repairs, the trend is that baby boomers increasingly prefer renting over buying. As a result, there’s a long-term opportunity for urban or close-in assets with a strong mix of two- and three-bedroom floor plans, active amenities and walkable neighborhoods. Such assets will be well-positioned to take advantage of the coming “silver tsunami,” and their owners could reap the rewards of managing vibrant communities with strong occupancy. The Millennial Shift Millennials, individuals born between 1981 and 1996, have notoriously finicky purchasing preferences. From retail to movie theaters, they’ve been credited with upending entire industries, and housing is no different. According to the Housing Policy Finance Center, millennials are less likely to own a home than previous generations for reasons including: Millennials are more likely to delay marriage and childbirth, major life events typically associated with homeownership. Millennials prefer to live in high-cost cities where the housing supply is inelastic. High levels of debt — particularly student loans — have decreased the affordability of homeownership for millennials. If homeownership is unlikely, the alternative is renting, and millennials tend to prefer properties and locations with many of the same characteristics that baby boomers look for. So, again, I believe that well-located properties in millennial-friendly markets like Denver, Nashville, Phoenix and Seattle, as well as Orlando, Florida; Raleigh, North Carolina; and Austin, Texas, are positioned to take advantage of the changing millennial housing preference. Relative Affordability Perhaps the most compelling data point to support this continued multifamily growth thesis is simple: Many Americans can’t afford to buy a home. Using data from the United States Census Bureau, we’ve reviewed the change in median home sales price versus the change in median income from 2008–2018. The result clearly demonstrates that home prices are rising at a faster clip than incomes. From 2008 to 2018, the median home sales price rose 31.6%, while median income rose 5.7%. It’s important to note that the Census data is for the entirety of the United States. Home prices in fast-growing markets like Denver or Orlando have risen substantially faster, putting homeownership out of reach for many. To confirm this point, we’ve cross-referenced it against Census data for homeownership rates by region over the same time period, and the conclusion is the same. Despite an ongoing economic expansion, homeownership rates have declined for all regions, and many are still below pre-recession highs, which suggests that the recovery hasn’t benefited all equally. Again, the alternative to homeownership is renting, which benefits multifamily asset owners. Summary To be sure, in 2020, multifamily assets are expensive by historical standards, and they may be due for a correction. But, the way Americans think about housing is changing, and multifamily assets are well positioned to benefit from the shift. Aging baby boomers seeking to eliminate the maintenance hassle of homeownership increasingly prefer to live in urban, walkable neighborhoods that cater to an active lifestyle and millennials delaying their entry into adulthood represent a substantial opportunity for future rental tenants. Due to this, combined with the relative affordability of multifamily, operators who manage to capture the attention of these two demographics should be well positioned to weather any short-term corrections for long term-gain. Trends Support Multifamily Growth!  The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/forbesrealestatecouncil/2020/03/04/why-demographic-trends-support-continued-multifamily-growth/ If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://bill-rapp-mortgage-viking.business.site https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking https://billrappmortgageviking.joinnexa.com/ http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitte.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Houston has venomous caterpillars!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Houston has venomous caterpillars! The Texas southern flannel moth Megalopyge opercularis, also known as an asp caterpillar, are common in shaded trees, shrubbery and wooded areas located around homes, schools and parks. As Houstonians search for ways out of quarantine boredom and venture outside for some fresh air around their homes and local parks, they may come across a friendly-looking creature known as the asp caterpillar.The Texas southern flannel moth Megalopyge opercularis, also known as an asp caterpillar, are common in shaded trees, shrubbery and wooded areas located around homes, schools and parks, according to the Texas A&M Agrilife Extension website. Houston has venomous caterpillars! The caterpillars' seemingly fuzzy and soft-looking appearance makes them appeal to children and unknowing adults. But anyone who comes across these creatures is warned to stay away because one touch can cause severe pain and may even lead to an emergency room visit. The late spring and summer months signal the time when adult asps emerge to lay eggs on trees and heavily wooded areas. The one-inch long, teardrop-shared bugs range in color from beige, tan, grey and orange are covered in long, hair-like spines that resemble fur. Upon touching these bugs, the potent spines release a venom that can cause mild to severe allergic reactions that include swelling, numbing and burning.  Children are especially susceptible to severe pain caused by asps. Within five minutes of contact with an asp, intense throbbing pain can develop and sometimes lead to pain in the armpit region, blood-colored spots at the site of the sting, headaches, nausea, vomiting, shock or respiratory stress, according to the A&M website. Home remedies include placing and ripping off adhesive tape over the sting to remove the spines, then applying ice packs. Pain should not persist longer than an hour or so, per A&M. If an allergic reaction develops and worsens, experts recommend visiting a doctor immediately. Houston has venomous caterpillars! The inspiration for today’s edition came from this original article: https://www.chron.com/news/houston-texas/article/Asp-caterpillars-fuzzy-Houston-venomous-bugs-15181576.php If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://bill-rapp-mortgage-viking.business.site https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking https://billrappmortgageviking.joinnexa.com/ http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitte.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

14 Mistakes Investors Make!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: 14 Mistakes Investors Make! If you are just getting started investing, or are still a beginner, you are going to make some mistakes. It is an inevitable fact when starting anything new that some blunders will be had. This can scare a lot of people away—and even cause some to quit—before they can realize the gains to be had from investing. By reading the following common mistakes, you will have a good idea of what NOT to do, as well as what you should do instead. Not Starting Early Enough There is an old Chinese proverb that says, “The best time to plant a tree was 20 years ago, but the second best time is now.” The same can be said for investing. It takes time to build wealth through investing, so start as soon as you can. Many investors can attest to wishing that they had started a long time ago and will tell you themselves that you should not wait any longer to dive in. The best thing you can do is to get started today! Your money will not have a chance to grow if you are sitting on the sidelines. Do some research on an investment that you would like to make, and if it is sound, then pull the trigger! Mindset Mindset is a key component to becoming a successful investor. You have to develop discipline to know what is a good investment and what isn’t. You need to realize that not every investment you make is going to work out. That doesn’t mean that you shouldn’t get back on the horse and make new investments though. Having a strong mindset can help you separate yourself as a lifelong investor. Another component of mindset is knowing that investing is a marathon, not a sprint. This is not a get-rich-quick program. A get rich very, very slowly mentality will take you much further. Lastly, you need to leave emotions out of investing. I know this is very difficult for most of us. This is your hard-earned money we are talking about. But when you allow emotions to get involved, it is very easy to deviate from the plan that you have set up for yourself. This goes hand in hand with mistake No. 1. Put together a plan—one that takes as much emotion out of the process as possible. And stick to it. Fear It is completely understandable for new investors to be afraid to get in the game. Fear of losing your investment, fear of looking foolish by buying a bad investment, or fear of “timing” the market wrong can all be deterrents. What we need to do is replace our fear of buying the wrong asset to a fear of waiting too long to invest. It’s much more detrimental if our money doesn’t have time to properly grow and mature. Time is your biggest ally when investing. If you have set up a solid investing plan and are able to stick to it, you should be well on your way to keeping the emotion of fear out of the equation. Thinking You Can Go It Alone There are so many places nowadays that you can go for knowledge.  You should not be embarking on your journey alone. This is especially true when it comes to real estate. Having someone who has been there and done it before can be one of the most important tools in your investing tool belt. A seasoned investor can offer so much—from preventing the purchase of a bad property to helping you save money with rehabs to hooking you up with professionals who won’t take advantage of you.Search for questions others have asked and read the responses from investors. Post your own questions, and get into meaningful conversations with those who have been there before you. Another great approach is to join some local groups. For real estate, look for a Real Estate Investor’s Association (REIA). There are many other investor clubs, as well, that just talk about investing in general. These are great ways to meet like-minded individuals and learn from others’ successes and failures. Lack of Patience If you haven’t been paying attention, I’ll state it again. Investing is a long game. It takes time to build wealth through investing. It is extremely rare for someone to create an abundance of capital when just starting out. If you think you are going to get rich and retire within a few years by investing, you have come to the wrong place. Don’t get me wrong. If you had put your life savings into Amazon when they first went public, you could be doing very well today. It still would have taken 20-plus years for your money to really grow though, and you would have had to sit through a few large pullbacks—something that someone without patience probably wouldn’t have the ability to do. Get invested as soon as you can, and stick with it over the long haul. If you buy solid assets that you have done your research on, you should have no problem waiting for them to grow. Not Sticking to Your Strategy When you first start out investing, you may get the itch to buy anything that looks good to you at the moment. This is an easy way to get yourself into trouble and involved in some bad investments. A key to investing successfully for the long haul is setting up some sort of investing plan and then making sure that you stick to that plan. This could be only buying stocks that are at a certain P/E or only buying real estate in certain neighborhoods at a certain equity level. There are many different strategies out there for attaining success as an investor, but none of them matter at all if you can’t stick to them and be disciplined. Don’t worry. It comes with practice and experience. Here is another opportunity for you to be diving into investing forums and listening to what others are doing that is making them successful. And here’s a helpful forewarning: If someone is telling you to pay for their plan that will get you 10,000 percent increases on your money… RUN!!! Start small, learn some basic strategies for choosing which assets to invest in, and grow your knowledge from there. Not Accounting for All Costs When you invest in real estate, there are a lot of costs that can go unaccounted for if you aren’t paying attention. These are things like closing fees, holding costs when rehabbing, and even utilities when trying to sell a property. You can find yourself in the negative on an investment if you aren’t paying attention to these costs. When buying and selling stocks and in all other asset classes, there are also costs that you may not be considering. Trading fees can hurt your bottom line if you don’t account for them, and taxes when making capital gains will quickly eat into any profits you think you had at the end of the year. Hopefully you have picked some assets that make you some solid gains, and sometime down the road you are able to sell them for a profit. It is at this point that you need to really think about the costs associated with that sale. Don’t go buy a brand new yacht with all of the proceeds, because Uncle Sam will come knocking on your door—and will most likely want to take that new yacht for a spin! Keeping All the Profits So, you did well on your first investment. You should go out and buy a shiny, new car. Not! A savvy investor knows that the way to build wealth is to roll those profits into new investments and exponentially increase your net worth. You can even get tax breaks by turning profits from one investment into another investment’s purchase. After you have accounted for the costs associated with making those profits, you should be looking into what you can roll it into. Growth on growth is the way to build real, long-lasting financial freedom. That isn’t to say that you shouldn’t keep some of your earnings for yourself. Hey, you deserve it, too. Not Continuing Your Education Remember when I said that investing is a lifelong process? Well, if you want to stay in it for the long haul, you will have to keep studying, learning, and adapting. The landscape of global markets is constantly in flux, and you must stay up to date on what is happening in order to be successful. Technology is constantly changing, and new companies emerge that take advantage of the new tech. If you are not paying attention to what is changing and happening, then you will miss opportunities for investing in places that have real potential for big growth. This doesn’t mean that you need to spend hours each day studying what is going on in the Mongolian wheat sector, it just means that you should realize you never know everything and should treat learning as such. Not Having Multiple Exits This goes back to your strategy, but when you purchase something you should always have an exit plan in place. Sure, we want every investment we make to skyrocket to 1,000 percent gains, but that just isn’t the case. What happens when a stock you purchase drops 5 percent? Does your strategy entail selling immediately? What happens if it were to drop 10 percent after that? For some people, they sell as soon as their stock loses 3 percent; others won’t sell regardless of what happens in the short-term. It is all up to you as an investor and the plan that you have put in place. This is even more true when investing in real estate. If you buy a fix and flip house and then the market shifts downward, do you sell for a loss or rent it out and gain some losses back? This is what it means to have multiple exits. Plan for the unexpected, and it won’t be such a shock. Miscalculating Estimates This is more tailored toward real estate investors, but making estimates is a huge part of investing in general. For real estate, you are estimating what the value of the home is now, in its current state, and in the future, when it’s all fixed up and has appreciated. You are estimating how much it will cost to repair and how long that will take. When you invest in a company through stocks or otherwise, you are making estimates about how you think that company is valued now and how you think they will perform and subsequently be valued in the future. Remember you can always look back at the history of a town, neighborhood, or company. That being said, past performance is not indicative of future results. Thinking Too Small This is not saying that new investors should dive right into the deep end and throw all of their savings into the newest and hottest company, hoping for millions. Here we are talking about not having a three, five, 10, and 30-year investing plan. This plan will always be changing, but looking into the future, you should have your eye on taking down bigger investments and larger projects. Put a plan in place for what you are going to do with the proceeds from any gains that you make. If you can roll some small gains into something that has a lot more upside, then now you are thinking big. Not Doing Due Diligence So, you heard a guy on the radio tell you about the hottest new stock he found. Or you were eavesdropping on a conversation in the coffee shop about this new neighborhood that all the investors are flocking to. Before you go out and buy that stock, or purchase a home in that neighborhood you heard about, stop! Stop and do some real research of your own. And don’t try to find all of the reasons why those people were right; try and prove them wrong. In the process of trying to prove them wrong, you might come to find out that they were absolutely right and want to move ahead with an investment. But I would guess that more times than not, they aren’t going to be great investments. Pundits can be heard every day giving you advice on how to invest your money and what the newest, best thing is. It is up to you to do the research and find out if an investment fits into your investing plan/strategy. Over- or Under-Rehabbing Rehabbing is pretty specific to real estate investors. New investors might look at an episode on HGTV and think that every house needs to have the most expensive granite counters and flawless tiled showers, but that just isn’t the case. You need to know your market and do what is necessary to rehab your house to the status of the neighborhood or city that it is located. You wouldn’t put laminate counters into a house in the most expensive part of Beverly Hills, nor would you put granite counters and hardwood floors into a house in a rundown part of town that everyone is trying to get out of. This harks back to mistake No. 13. If you haven’t done the research on the neighborhood that you have invested in, you could make some costly rehab mistakes that will affect your bottom line or how quickly you can get a property moved into or sold. Summary As a new investor, there are many things to be aware of. These are just some of the top mistakes that a new investor might make when getting started. There are many resources out there that can help you along your way and ease your fear about getting started. For those interested in getting into real estate, this is an excellent resource for beginners that might help you get started on your journey. Start small, but plan to build up your investing into something huge! The inspiration for today’s edition came from this original article: https://www.biggerpockets.com/blog/14-mistakes-new-investors-make-and-ways-to-sidestep-them?utm_source=newsletter If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://bill-rapp-mortgage-viking.business.site https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking https://billrappmortgageviking.joinnexa.com/ http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitte.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Housing Bubble About To-Burst!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Housing Bubble About To-Burst! Back in June 2019, I published a detailed Forbes piece called “Current U.S. Recession Odds Are The Same As During 'The Big Short' Heyday.” In that piece, I argued that the U.S. Federal Reserve and other central banks’ aggressive monetary policies since the 2008 Global Financial Crisis created a series of extremely dangerous economic bubbles that would burst in the coming recession. Moreover, I argued that the odds of a U.S. recession in the next 12-months were approximately 64%, which was identical to the recession odds the U.S. economy faced in the Big Short heyday in July 2007. I believe that the U.S. economy was already heading for a recession and that the coronavirus pandemic has acted like a “pin” that burst nearly all of the bubbles that I was warning about. Housing Bubble About To-Burst! In this current piece, I’d like to take a quick look at one of the bubbles I warned about in my June 2019 piece - U.S. Housing Bubble 2.0 - and why I believe it is at risk of bursting in the recession that we are already likely in. Like the other bubbles I’ve been warning about, U.S. Housing Bubble 2.0 formed as a result of the Fed’s extremely stimulative monetary policies in the past decade - namely zero interest rate policy (ZIRP) and quantitative easing (QE). The Great Recession was largely caused by the bursting of the mid-2000s housing bubble and the damage it caused in the U.S. financial and banking system. As a “quick fix” to end the recession and create another economic boom, the Fed simply re-inflated housing prices. According to the Case-Shiller U.S. National Home Price Index, housing prices have surged by 59% since their bottom in 2012: As in the last housing bubble, all sorts of shenanigans has occurred during the making of U.S. Housing Bubble 2.0. Of course, it’s not shenanigans that is identical to the last housing bubble - “history doesn’t repeat, it rhymes...lightning doesn’t strike the same place twice, etc.” One form of shenanigans that occurred during Housing Bubble 2.0 is the fact that many AirBnB “super-hosts” bought scores of properties with cheap mortgages for the purposes of renting out. The coronavirus pandemic has now put these over-leveraged super-hosts in extreme jeopardy: In addition to the housing market grinding to a halt because prospective homeowners face difficulty actually viewing houses that are for sale during this pandemic, extreme job market uncertainty and unemployment has come back with a vengeance in just March 2020 alone. According to one recent Fed estimate, job losses could total 47 million, while the unemployment rate may hit 32% - truly depression figures, forget about recession. I’m very concerned that the frothy U.S. housing market will be forced to come back to planet earth very soon, which will drag the overall economy down even more.  Housing Bubble About To-Burst! The inspiration for today’s edition came from this original article: https://www.forbes.com/sites/jessecolombo/2020/03/31/why-us-housing-bubble-20-is-about-to-burst/#6fef19a86b76 If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://bill-rapp-mortgage-viking.business.site https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking https://billrappmortgageviking.joinnexa.com/ http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article

Mortgage-payment deferral options!

Bill Rapp here with the Heartfelt and Hot in Houston Blog, and this is our newest segment: Mortgage-payment deferral options! Homeowners who fall behind on their mortgage payments will soon have the ability to defer payments through a new service being offered by Fannie Mae FNMA, -5.03% and Freddie FMCC, -3.41%. At the direction of the Federal Housing Finance Agency, the two mortgage companies are rolling out payment deferrals, which will serve as an alternative to forbearance and loan modifications for borrowers who are struggling to remain current on their home loans. Fannie Mae and Freddie Mac accounted for upward of 46% of all mortgages originated as of 2018, according to a report from the Urban Institute. Mortgage-payment deferral options! Borrowers who are granted a payment deferral will see their delinquent principal and interest payments deferred. That balance will come due either on the mortgage maturity date, the pay-off date or upon the sale of the property, whichever comes first. The term of the loan and payment schedule will remain the same. Don’t miss: Fannie Mae, Freddie Mac instruct servicers to offer 12-month moratoriums on mortgage payments if borrowers suffer hardship A payment deferral is intended “to resolve delinquencies and help homeowners remain in their homes,” Freddie Mac said on its website. Fannie Mae described payment deferrals as “a more affordable workout that’s between a repayment plan and a modification” and noted that the option may be well suited to borrowers whose ability to make on-time payments was impacted by the national coronavirus emergency. Mortgage-payment deferral options! Borrowers granted a payment deferral will see their delinquent principal and interest payments deferred. That balance will come due either on the mortgage maturity date, the pay-off date or upon the sale of the property, whichever comes first. The term of the loan and payment schedule will remain the same. Under a traditional repayment plan, borrowers are required to spread out their past-due amount over several months in addition to their normal monthly payments. With a forbearance plan, a borrower can suspend or lower payments for a specified time period, but must make full or partial payments for the amount owed during that time when the forbearance period ends. Servicers, which are the companies who collect monthly mortgage payments from borrowers, will be able to start evaluating borrowers to see if they are eligible for payment deferrals beginning on July 1. To qualify, borrowers must have encountered a financial hardship that has been resolved, and they must have the capacity to make existing monthly mortgage payments based on their contract and not require a payment reduction unlike a loan modification or forbearance. Additionally, the mortgage must have been originated at least 12 months prior to the evaluation date. Borrowers must be between 30 and 60 days delinquent and have not received a previous deferral nor failed a non-disaster related loan modification. The new deferred payment service would benefitted both borrowers and mortgage investors, said Mike Fratantoni, chief economist for the Mortgage Bankers Association, a trade group that represents lenders. “Payments are then tacked on to the end of the mortgage loan, so the investors are made whole through this but it gives the borrowers a chance to get back on their feet,” he said. The inspiration for today’s edition came from this original article: https://www.marketwatch.com/story/fannie-mae-freddie-mac-to-roll-out-new-mortgage-payment-deferral-option-for-homeowners-facing-financial-trouble-2020-03-27 If you are seriously considering moving right now you need to take action right now and talk to a reputable Real Estate & Mortgage Broker today, please call 281-222-0433 or visit: https://bill-rapp-mortgage-viking.business.site https://www.zillow.com/lender-profile/BillRappMortgageViking https://www.blink.mortgage/app/signup/p/nexamortgage/BillRapp?campaign=MortgageViking http://www.joinnexa.com/BillRapp http://www.homesforheroes.com/affiliate/bill-rapp-1 https://www.billrapponline.com/ https://twitter.com/BillRappRE https://mortgageviking.billrapponline.com https://highcostarea.billrapponline.com https://commercial.billrapponline.com https://doctorvideo.billrapponline.com https://sba.billrapponline.com/ https://veteransvideo.billrapponline.com https://fha203h.billrapponline.com https://privatemoney.billrapponline.com https://rei-investor.billrapponline.com https://manufacturedhousing.billrapponline.com  https://www.houstonrealestatebrokerage.com/ https://www.youtube.com/channel/UCsF3Rh4Akd1OAOAgTmzgqQg       Read the full article