Realtor® reveals the very best time to sell this year

Plus: Fannie Mae CEO shares essential advice for first-time homebuyers

March 22, 2024

Hi and welcome back to Mortgage Nuggets. Today’s newsletter is 822 words, a 3.5-minute read. Let’s dive in…

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Disclaimer: Average mortgage rates as of Mar 21, 2024. © MND's Daily Rate Index.

1. Fed sees three rate cuts in 2024

Federal Reserve officials signaled Wednesday that they still expect to cut their key interest rate three times in 2024, fueling a rally on Wall Street, despite signs that inflation remained elevated at the start of the year.

  • For now, the officials kept their benchmark rate unchanged for a fifth time.

Speaking at a news conference, Chair Jerome Powell said the surprising pickup in inflation in January and February hadn’t fundamentally changed the Fed’s picture of the economy: The central bank still expects inflation to continue to cool, though more gradually than it thought three months ago.

2. MBA chief economist addresses industry challenges in House testimony

In a testimony to the U.S. House of Representatives' Financial Services committee on Housing and Insurance, Mike Fratantoni of the Mortgage Bankers Association outlined pressing issues in the housing market:

  1. Inventory Shortage: The market significantly lacks the units needed to meet strong demand.

  2. "Lock-In" Effect: Homeowners are hesitant to sell due to higher current mortgage rates, reducing available inventory.

  3. Basel III Endgame Concerns: Proposed increased capital requirements could destabilize housing finance by shifting the mortgage market away from large banks.

  4. Rising Property Insurance Costs: Increased costs and reduced availability of property insurance challenge both new and current homeowners, especially in disaster-prone areas.

These challenges highlight the complexities of the current housing market and the need for strategic solutions to address affordability, accessibility, and market stability.

3. Realtor®: This is the very best time to sell

According to Realtor.com, every year, one week stands out from the rest as that perfect stretch of time when it’s great to be a home seller.

This year, the week of April 14–20 is the best time to sell—that is, if sellers want to see lots of interest in their homes, sell quickly, and pocket some extra cash, according to Realtor.com® data.

“The third week of April brings the best combination of housing market factors for sellers,” says Hannah Jones, Realtor.com® senior economic research analyst. “The best week offers higher buyer demand, lower competition [from other sellers], and fewer price reductions than the typical week of the year.”

🚨 COACH’S CORNER

“I am happy with the Lender I have….” We all hear it but how to overcome it??? Tune In for my thoughts.

— Dave Krichmar CEO

4. Catch up quick

🇺🇸 The American Dream is still very much alive,’ Fannie Mae CEO insists—and she has essential advice for first-time homebuyers. (Fortune)

⏬ Mortgage industry excitement is subsiding about expected Fed rate cuts in 2024. (HousingWire)

⚖️ Former broker unimpressed by $418 million NAR settlement—says they couldn’t agree on lunch let alone a conspiracy. (Fortune)

🗞️ NAF hires 65 former AmCap mortgage pros to expand its business in Texas. (NAF)

5. Rocket Mortgage President Tim Birkmeier retires

Rocket Mortgage President Tim ​​Birkmeier is retiring from both Rocket Companies and the mortgage industry altogether after nearly 28 years at the Michigan-headquartered lender.

“It is with great pride that I publicly announce my retirement from Rocket Companies and the mortgage industry,” Birkmeier wrote in a LinkedIn post on Thursday.

Brikmeier's post also gave a shout-out to Rocket leaders Dan Gilbert, Bill Emerson and Jay Farner "for allowing me to have a strong leadership voice in the company."

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6. Existing-home sales up 9.5% in February

Existing-home sales jumped in most of the U.S. this February, the National Association of Realtors (NAR) reported.

Total sales of single-family homes, townhomes, condominiums and co-ops bounced 9.5% from January to a seasonally adjusted annual rate of 4.38 million in February in the South, Midwest and West, remaining unchanged in the Northeast.

“Additional housing supply is helping to satisfy market demand,” said NAR Chief Economist Lawrence Yun. “Housing demand has been on a steady rise due to population and job growth, though the actual timing of purchases will be determined by prevailing mortgage rates and wider inventory choices.”

You’re all caught up. See you on Monday!

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