We recently attended the RISMedia convention in New York and have compiled notes that I will share with you on what was discussed and comment – occasionally how it will affect our business and ask that you do research on certain topics to inform yourself to give our clients the most up-to-date information so they can make the right decisions when buying or selling a house.
There have been two price increases on FHA loans recently – upfront MI and monthly MI.
-Lenders paid less on FHA loans.
-FHA loan amounts decrease.
-Potential increase in down payment requirements are also on the horizon.
-FHA Loans are 30% of the market.
-MI – 5% down training on MI is required for agents who want to stay in the know!
Additional facts on the market:
-2/3 mortgage applications don’t go through.
-Do consumers understand the process of obtaining credit – no – Agents are transactional
-7 million people have been out of work for 26+ weeks.
-19.8% of all prior mortgages are 90+days delinquent.
-Eminent defaults are on the horizon – stay tuned.
-60 million + people with less than 630 credit score.
Lenders are looking for point of sale contact with Realtors
-Want to help you grow your biz and attract more agents into their database?
The question is how?
-Training and education
-Shared marketing dollars
-Exposure to listings through marketing ventures.
– What else can they provide?
GSE’s are stagnant on Capitol Hill and we shouldn’t expect progress anytime soon. Too much else is on their plate.
270 points in Dodd-Frank bill – The lending industry WILL change. We are expecting to receive talking points of the bill for you to share with your clients so stay tuned!
Do you know what Qualified Residential Mortgages are? It is important to stay up on the trends. QRM will push a 1/3 of Buyers out of market. The comment period on QRM ends 6/10/2011 – get in the know and make your comments to your elected officials!
“Stuff” is thrown up against the wall right on Capitol Hill now to see what sticks
– A tax on new home sales was proposed so that the existing home inventory could get absorbed and new home sales would subside as a result.
What is the HAMP Mod’s default rate within 6 months? It occurs 60% of the time.
Average consumer has 13 credit obligations – 9 credit cards.
48% of college students leave school with bad credit
58% of college grads move home because of poor credit.
Ask your clients, “What is likelihood of you buying furniture, blinds, etc., if you do, can you really afford this house with this additional debt?”
Become a long term trusted advisor for your clients – provide valuable content – early and often.
Education is a continued effort so get educated. Get it? Got it? Good!
Now, go sell something!