Gaining a Better Perspective on the Housing Market

As a mortgage broker and licensed realtor, I can’t help but feel ecstatic about the current housing market. That’s right; I am bringing blue skies and sunshine. As I sat down to write this article, interest rates were near multi-month lows; Oklahoma’s housing market is still firmly a seller’s market for many price points, and real estate activity has been picking up overall. Speaking with many local realtors, I heard a common thread: a lot of pent-up demand is beginning to enter back into the market.

When we dig deeper into the ‘why’ rates are dropping, the latest U.S. jobs report is one factor. It showed weaker hiring than expected, which signaled a slump in employment numbers, leading to a drop in interest rates. This is the relationship between mortgage rates and the economy; often, rates drop in response to negative economic news.

The current economic landscape has caused flashbacks to the 2008 housing crash and the trauma it caused. However, today’s market is different. Though frustrating for mortgage lenders to work with at times, the Dodd-Frank lending standards instituted to prevent another ’08 crash have absolutely created a more robust housing market. This, and other economic strengths, insulate our current market from much of the nastiness we saw in the 08 crash, and in Oklahoma in particular, even more so. Lower rates are coming. It will be a bumpy road no doubt, but the general trend points lower.

In closing, let’s stop using the high-interest rates as an excuse to sit on the sidelines. Is 6% a high-interest rate? Mid fives? High fours? No, none of them are. Are they high relative to the 3% rates of 2021? Sure, but at the end of the day, we must return to reality and realize rates are heading back toward a healthy level, and plenty of lucrative opportunities exist.

Blue skies and sunshine, I can’t help myself!

At Gain Mortgage, we help you make sense of the market. We take the time to listen to your needs. We get creative and help you carve out a path for long-term financial gains. Call us; let’s make the right moves – together.

Hunter Merritt,

GMG Owner, Mortgage Broker,

Licensed Realtor