real-estate – AskImma

Couldn’t get any worse 🙂 – It has been a while and although interest rates have barely moved people are still buying – but here is the catch! Anyone who purchased a home when the rates were so so so low, the lowest I have ever seen them anywhere from 2.75% up to 5% – unfortunately can’t take out the EQUITY the home has built.

I am often asked, WILL THE RATES EVER GO THERE AGAIN???? Hmmmm NO. I do not think or believe that the rates in my lifetime will ever go there again. They may hit 5 and I predict this on my podcast but under 5 is a far far cry.

So, what do I mean – For those that bought when the rates were prime are locked in at that amazingly LOW rate – the home values have risen and one way to wealth is to take out that EQUITY and use it to buy more Real Estate (That is one sure way to grow your portfolio and wealth in housing).

BUTTTTT and I mean BUTTTTT with the rates at 6.25% or 6.125% or 6.5% or even 7,8,9 depending on the product meaning 2 Family vs. 4 or 5 or 6 or higher… the gap in rates means that your current LOW LOW rate would need to get refinanced at the higher rate – jumping up your monthly payments.

NOT MANY CAN HANDLE THAT – so the EQUITY IS TRAPPED! Was that part of a housing plan?

I think it was…none the less there are always players who can – players who can’t. Simply because we are not all born with the same pocket depth.

For the majority of the middle class who barely see a 2% increase in salary – they will not be able to take a 4% jump and new mortgage for 30 yrs – some will MOST WONT.

If you buy now – at the higher rate you will in the near future be able to pull out the equity at a lower rate making the whole scenario about Real Estate wealth return to the normal.

SO, if you were hesitant to BUY due to the rates – do not be – just DO THE MATH!!! Math the only constant in the universe, and CHANGE is the only constant in Real Estate.

Should you have questions or concerns or just want some sound advice – hit me up – I am on TikTok, youtube and all my info is public.

I love what I do, that is talk about Real Estate and how to create a legacy and wealth for years to come.

Happy passive Income folks – let your money do the work!

As I sit here shaking my head in disbelief at where the Real Estate Industry is heading I say to myself Imma, why does this still shock you?

Real Estate business is a very fascinating arena, it entails many many moving parts and the T.V. doesn’t do it any justice. Real Estate is not as sexy as they portray it to be, in fact it is very challenging since the only constant we face daily is change.

This change has many many masks, such as the government interference in private sector, the associations of real estate professionals deciding on things without looking at each micro market. Clearly we know Manhattan and Downtown Brooklyn is a totally different game than let’s say Boston MASS.

We are faced with inflation offsets, rising costs of materials which increases costs of housing. We also need to navigate interest rates and so many agents have a hard time riding the wave.

To some, Real Estate seems to be a steady market – ” it only goes up” I’ve heard a 1000 times – yet that is NOT true in micro moments and markets – Real Estate like every other thing on this planet is cyclical. It does go up and is by far for me, the ONLY investment to make. However if you are caught in what I call the “Real Estate WEB” you will lose money on your investment should the need to sell comes at a moment in time where things are on the way down. Let’s talk about commission! EVERY agent that brings about a transaction should be compensated by the SELLER as in NYS we are all sub agents of the seller as so I do not see an issue on this and this should be a STATE to STATE decision in the long run.

When Listing a property the SELLER needs to understand that the commission paid will be split – In NYC my experience over the last 2 decades has been that every one agrees so do the majority of the larger firms. WE ALL AGREE that we need to do business as usual.

The buyer side is super important – imagine having no buyers to buy? Everyone working just the listing end?? Seriously it does take 2 to tango and if we are all disclosing it there should be no issues. I feel the MLS and REBNY needs to disclose the commission – so that it keeps Brokers and Brokerages on the transparent train! WE need to continue co brokering to represent the SELLERS 100%.

Tag: real-estate

Just when you thought things…

All this hoopla on commission!!