💸 More volume than Vidal Sassoon

Issue 88 - Good Morning and Happy Tuesday.

We’re back! And it’s busy. We felt the tide rising over the past few weeks, but activity has exploded. I am going to open this a little differently than I usually do.

Lenders are slowing down with increased volume.

• They hope to ride out the end of the year with existing staff. The election and actual Fed movements are still unknown. Many lenders are fearful of a quick market retraction. They would rather deal with volume issues for a solid 3-4 months than overhire and have to lay off workers again. Turntimes at every level are suffering as a result.

Consult with your lending partners on turn times. The time crunch is industry-wide.

• Like the lenders, brokers, loan officers, and bankers are all feeling the stress (as I sit here at 11 p.m. trying to wrap up my Monday, lol). The real heroes are writing 30-day contracts with standard contingency timelines.

  

  Step Brothers, 2008 - Columbia Pictures via Tenor

GTG is actively hiring for an entry-level position for a Loan Officer Assistant

• Please let us know if you know someone who might fit our culture. No experience is necessary. We need reinforcements. We’re hiring for attitude/work ethic and training for skill.

  

  Wolf of Wall Street, 2013 - Paramount Pictures via Tenor

The rate cuts are already here, and we are entering a unique 45-90-day period. We’re seeing the field is split:

• Crowd 1 - “We will wait until rates come down a bit more,”
  Crowd 2 - “Go now. Take a bird in the hand rather than two in the bush.” [AKA savvy borrowers].

Answer: Sellers will eventually realize there is more and more competition for their homes; buyers will realize the money is a bit cheaper than just 90 days ago, and be more comfortable bidding a little higher. Then, we are off to the races.

This is all assuming that rates don’t continue falling later this year. If that happens, all bets are off and it will be a free-for-all.

Personal note: Over Labor Day weekend, I was able to get away to lovely Riverside (ha!) for my annual Fantasy Football draft. With how busy things have gotten, it was probably the worst weekend to take off with my operations manager and finance manager at the same time, but we were able to get a half-day of work in on Friday.

Jamie and I celebrated our 17th wedding anniversary this past Sunday. To escape the heat, we took the boys to the coast and got fish and chips. I’m so grateful to have Jamie as my partner in life. Without her, I couldn’t accomplish half of what I have or will. Cliche, but she is my rock.

INTEREST RATES
Rates 📢 September 10th, 2024

Rate data as of morning of publication. Unless noted otherwise, all scenarios are assuming 30 Year-Fixed mortgage, Purchase or R/T Refinance. No origination points charged, 780 FICO score, and 20% down payment. Provided for consumer education only and does not serve as a binding offer to extend lending. Payment period, interest rate, APR, and other terms subject to income, asset, and credit profile qualification. Provided courtesy of GTG Financial, Inc. NMLS 1595076. Equal housing opportunity. www.nmlsconsumeraccess.org

• Rate Markets: Rates continue to make solid progress downward. We are now at the lowest rates of 2024.

  

  American Psycho, 2000 - Lionsgate via Tenor

• Bottom Line: The “rate cut” has arrived. We are now .875% LOWER than 2.5 months ago when rumors started about a possible fed rate cut.
  
  Borrowers remaining on the sidelines are getting left behind. This drastic downward movement will only accelerate values.

EVENT
Join Us For OKTOBERFEST

GTG Financial is proud to present the 11th annual OKTOBERFEST!!

When: Saturday, September 28th, 2024.

Where: 1919 Creekside Road, Santa Rosa, CA 95405

What: 11th Annual Oktoberfest Party

What to bring: Appetizer to share and 1 unwrapped, new toy for Toys for Tots.

No, you do not need to dress up; these are just some great pictures from last year. Free giveaways for kids, great food and drinks, and the weather is always beautiful in late September, Bennett Valley evenings!

TECHNICALS
All About The Jobs

🏠 GTG Weekly: Quick Market Update

Top Stories:

• Labor Market Weakens: August saw 142,000 new jobs, below expectations, with part-time work rising. Due to cooling job growth, the Fed may throttle cut rates in September to .50% vs .25%.

• Private Sector Slows: Only 99,000 jobs were added in August, the weakest month since 2021. Small businesses lost jobs, while larger companies picked up the slack.

• Low Hiring & Quit Rates: Job openings are down 13% from last year, and quit rates are low. Labor market softness could impact buyer confidence.

• Home Prices Still Rising: Despite labor market issues, home prices rose 0.2% in July, up 3.6% year-over-year—real estate remains a solid investment.

• Watch for: Key inflation data and Fed decisions on rates next week, which could impact mortgage rates.

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