housing market Archives - Page 4 of 7

Inflation’s Pain & Potential

While inflation has brought pain to American’s pocketbooks here’s where there’s potential for both homeowners and originators alike…

housing market inflation

What’s offsetting lower HECM PLFs

Despite rising rates and lower PLFs, HECM opportunities abound. Here’s why…

Fannie Mae economists downgrade their housing forecast.

Fannie Mae dark days ahead for housing market

[Housing Wire] It will get worse for the housing market – and mortgage industry – before it gets better. That’s the takeaway from a group of economists at Fannie Mae who slashed their forecast for 2022 home sales this week

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Deflation is here

Deflation is here… even with inflation!

deflation housing market inflation

A time-honored loan in FHA

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EPISODE #734
RMD sits down with our FHA Commissioner

Reverse Mortgage Daily sat down with FHA Commissioner Julia Gordon for her perspectives on the HECM program, its strength, and outlook.

Other Stories:

Newsweek: The U.S. facing a potential ‘perfect storm’ for a housing crisis
Workers Say Inflation Is Now the No. 1 Obstacle to a Comfortable Retirement

housing market inflation podcast

Will Dave Ramsey’s housing forecast age well?

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EPISODE #732
Why Ramsey Solutions’ housing forecast may not age well

“Right now is the best time to buy a house in the next five years. And here’s why: prices are not gonna go down”, says Ramsey Solutions, the company founded by the financial celebrity and well-known commentator Dave Ramsey. Is he right?

Other Stories:

Senior housing wealth up 4.91% in the first quarter of 2022
The Role of Real Estate in Retirement Planning

Dave Ramsey housing market

My neighbor slashed his home price and yours may too

My neighbor just slashed his home sale price and yours may be next…

housing market

Should I sell and rent or get a reverse mortgage?

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EPISODE #730
Should I sell and rent or get a reverse mortgage?

One 82-year-old woman writes a Money Sense columnist saying her savings are draining fast and she wants to know if she should move & rent or consider a reverse mortgage.

Other Stories:

Social Security Recipients Could Get a Massive 11% Raise Next Year (Money.com)
Why the housing market is weaker than it appears

housing market Social Security

The Big Squeeze

<h2 class="p1">Without audience targeting are Google Ads Dead? Think again…</h2> Early this month Google announced new restrictions for targeting specific audiences. The restrictions apply to content related to housing, employment, credit, and those who are disproportionately affected by societal biases. The news of these restrictions created quite a stir among industry brokers and lenders who heavily rely upon targeted Google ad campaigns. All which may have you asking if these changes will kill future reverse mortgage advertising on the world’s most popular search engine. In just a moment we’ll hear from our online SEO expert Josh Johnson to find out. <a onclick="read_toggle(433708193, 'Read More', 'Read Less'); return false;" class="read-link" id="readlink433708193" style="readlink" href="#">Read More</a> <div class="read_div" id="read433708193" style="display: none;"> Google’s restrictions are not necessarily novel nor unexpected. It was just over two years ago Facebook faced scrutiny from federal regulators for allowing those offering credit or housing finance to restrict ad audiences by race or religion among other questionable metrics that would violate HUD’s fair housing rules. An investigation by ProPublica broke this news in October 2016. It was nearly two years later in August 2018 that HUD filed a formal complaint against the social media giant for discriminatory advertising practices. Seven months after HUD’s complaint Facebook announced sweeping changes. Both Facebook and later Google, took a blunt approach much to the chagrin of lenders and service providers. What ad filters are going away? In its official release Google revealed, “credit products or services can no longer be targeted to audiences based on gender, age, parental status, marital status, or ZIP code.” Is this the end of Google ads for reverse mortgages? To answer that question I reached out to Josh Johnson who heads up Reverse Focus’ Online Dominance SEO program and Google marketing. Here’s his explanation. Here’s what makes Google unique from other platforms and why reverse mortgage Google ads will continue to reach the intended audience. To summarize, older homeowners are intentionally seeking out reverse mortgage information on Google which means, yes-your ads will be seen by your target audience, even though you can no longer target specific age groups. <img loading="lazy" decoding="async" class="wp-image-21372 alignnone" src="https://apirodev.com/reverse-mortgage-news/wp-content/uploads/2020/09/In-post-pix.004-300x169.jpeg" alt="" width="691" height="389" srcset="https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.004-300x169.jpeg 300w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.004-1024x576.jpeg 1024w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.004-768x432.jpeg 768w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.004-1536x864.jpeg 1536w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.004.jpeg 1920w" sizes="(max-width: 691px) 100vw, 691px" /><img loading="lazy" decoding="async" class="alignnone wp-image-21373" src="https://apirodev.com/reverse-mortgage-news/wp-content/uploads/2020/09/In-post-pix.001-1024x576.jpeg" alt="" width="681" height="383" srcset="https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.001-1024x576.jpeg 1024w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.001-300x169.jpeg 300w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.001-768x432.jpeg 768w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.001-1536x864.jpeg 1536w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.001.jpeg 1920w" sizes="(max-width: 681px) 100vw, 681px" /> <img loading="lazy" decoding="async" class="alignright size-large wp-image-21374" src="https://apirodev.com/reverse-mortgage-news/wp-content/uploads/2020/09/In-post-pix.002-1024x576.jpeg" alt="" width="1024" height="576" srcset="https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.002-1024x576.jpeg 1024w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.002-300x169.jpeg 300w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.002-768x432.jpeg 768w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.002-1536x864.jpeg 1536w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.002.jpeg 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /> <img loading="lazy" decoding="async" class="alignright size-large wp-image-21375" src="https://apirodev.com/reverse-mortgage-news/wp-content/uploads/2020/09/In-post-pix.003-1024x576.jpeg" alt="" width="1024" height="576" srcset="https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.003-1024x576.jpeg 1024w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.003-300x169.jpeg 300w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.003-768x432.jpeg 768w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.003-1536x864.jpeg 1536w, https://www.hecmworld.com/wp-content/uploads/2020/09/In-post-pix.003.jpeg 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /> </div>

Equity-rich homeowners find themselves squeezed between inflation and a volatile stock market

We should never forget that today’s economy isn’t just a hardship for retirees, for many it’s an outright nightmare. Older Americans are seeing their purchasing power evaporate as they ratchet up retirement withdrawals in the effort to stay afloat. Older renters who don’t have a nest egg of home equity built up are feeling the worst effects of inflation.

The Pensacola, Florida station WEAR-TV reports one 64-year-old retiree, Ruby Gilbert, is going back to work and is looking for a job after the rent on her Lantana, Florida apartment was increased from $1,450 per month to nearly $2,000.

Inflation has another insidious side-effect; reduced retirement savings. Many pre-retirees have reduced or halted their automatic retirement savings investments finding life is getting just too expensive to save for tomorrow. The impacts of depressed savings will be felt in the next five to ten years.

All is not lost, however. In fact, one group of retirees may unwittingly be sitting on top of a potential solution to their inflation-driven cash flow woes. Homeowners. Some of the same policies that led to a surge in domestic inflation also inflated home values. And that’s good news for seniors on a fixed income who feel the brunt of inflation with housing, food, energy, and gasoline accounting for 75% of a typical senior’s budget. The challenge is the growth in home values that may help older homeowners has also damaged the overall housing market.

The run-up in home values has become so absurd homebuyers are finally deciding to stand on the sidelines. That’s not surprising considering the recent surge in 30-year fixed-rate mortgage rates coupled with peak home prices has made homeownership unaffordable for millions. Once again the housing market would have been relatively undamaged by a sudden rise in home mortgage rates if home appreciation grew at typical rates of 3%-4% a year. However, the Fed’s policies stoked another irrational white-hot housing market.

That leaves retirees facing uncertainty. For example, the S&P 500 index closed down 18% year to date while Moody’s Analytics data suggests the average home value is inflated by 24% with values outpacing income growth. In such circumstances, older homeowners are being squeezed on all sides with a declining retirement portfolio, inflation, and hundreds of thousands of dollars in equity that could begin to erode this year. Right now it’s too early to tell if we’ll have a housing market crash or a correction but mark my words, we will have one or the other. Housing prices cannot remain at these inflated values without the support of underlying economic fundamentals. Home sales have fallen four months in a row while the number of new home listings is surging across several key U.S. metros. And there’s a dirty little secret hiding in plain sight. The U.S. Census Bureau reports that 13.4 million Americans are either currently in default on their home payments for a mortgage or rent. Nearly 5 million of these households will be foreclosed on or evicted in the next two to three months. While these displacements are genuinely tragic they will substantially increase housing inventory putting pressure on home prices and rental rates.

Ironically loan delinquency rates are down 1.93% month-to-month and 42% less than they were one year ago according to Black Knight data. If the U.S. enters a recession, which seems a likely outcome, expect to see foreclosure start and filings surge. All things considered, older homeowners with considerable equity stand best-prepared to cope with the increasing cost of living. The question is are they aware of their options?

Census Bureau housing foreclosure & eviction data

Black Knight’s mortgage data

housing market inflation

2 forces slowing the housing market’s return to normal

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EPISODE #728
The 2 forces are slowing the housing market’s return to normal

The ongoing housing supply shortage is exacerbated as people stay in their homes longer than in years past. Economists have identified a pair of trends combining to slow housing market normalization.

Other Stories:

Reverse Market Insight’s Market Minute
A leading indicator? Three lenders revise private reverse mortgage products

housing market proprietary loans

Inflation’s Pain & Potential

What’s offsetting lower HECM PLFs

Fannie Mae economists downgrade their housing forecast.

Deflation is here

A time-honored loan in FHA

EPISODE #734
RMD sits down with our FHA Commissioner

Will Dave Ramsey’s housing forecast age well?

EPISODE #732
Why Ramsey Solutions’ housing forecast may not age well

My neighbor slashed his home price and yours may too

The Big Squeeze

Equity-rich homeowners find themselves squeezed between inflation and a volatile stock market

2 forces slowing the housing market’s return to normal

EPISODE #728
The 2 forces are slowing the housing market’s return to normal

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EPISODE #734 RMD sits down with our FHA Commissioner

EPISODE #732 Why Ramsey Solutions’ housing forecast may not age well

EPISODE #730 Should I sell and rent or get a reverse mortgage?

Equity-rich homeowners find themselves squeezed between inflation and a volatile stock market

EPISODE #728 The 2 forces are slowing the housing market’s return to normal

Sign up for our newsletters

About

Company

Connect

Follow Us

Subscribe to join our World

EPISODE #734
RMD sits down with our FHA Commissioner

EPISODE #732
Why Ramsey Solutions’ housing forecast may not age well

EPISODE #730
Should I sell and rent or get a reverse mortgage?

EPISODE #728
The 2 forces are slowing the housing market’s return to normal