Trust This. Mission Accomplished … for this week

👋 Happy Friday! Today is the National Day of Silence 🤫, so if a student you know isn’t speaking to you today, don’t hold it against them.

1 big thing: Buyers’ wait it out

According to a U.S. News poll, 66% of home buyers are waiting for mortgage rates to drop before home shopping.

Why it matters: The traditionally hot spring home selling season will be chilled if buyers’ patience for rate reductions holds out.

By the numbers: That 66% breaks down by hopes and prayers:

The 56% who are hoping and praying for rates to drop below 5.5% won't be buying a house this year.

The bottom line: In an effort to adjust to the higher rates and stubborn sellers who won’t reduce their price, buyers are reducing their price point. They are also open to relocating to areas with lower prices, shopping with multiple lenders, and considering alternative mortgage programs with lower initial interest rates.

Our thought bubble: Realtors with relationships with multiple lenders will be more successful at finding loan payments their buyers can afford. Mortgage lenders who understand they’re going to be head-to-head for business and can get payments down will be more attractive to buyers. However, as more lenders leave the mortgage loan origination market, buyers will find it more difficult to comparison shop.

Go deeper: U.S. News 2023 Homebuyer Sentiment Survey

2. TikTok lies about FHA mortgages

There’s a rumor spreading via TikTok that FHA has unveiled a new 40-year mortgage for first-time home buyers.

Why it matters: It’s not true.

Starting May 8, lenders may increase the maximum FHA loan modification term from 360 to 480 months.

One TikTocker, who claimed to be a lawyer, said:

That is not accurate, correct, nor true.

The bottom line: The new rule is simply a loss mitigation option that FHA hopes allows homeowners to retain ownership of their home by spreading smaller payments over 40 years, making it more affordable and easier to avoid foreclosure.

3. What you missed

4. Pic of the day

Some of our readers may know that, over the years, we have founded a land trust company, a couple of law firms, and a (now closed) residential title insurance agency.

In 2005, along with another title agent, Philip and I also launched a second title insurance agency, PCS Holdings, LLC, formerly branded as “CloseMyTimeshare.com,” that focused on title insurance and foreclosures for some of the timeshare industry’s largest developers in Florida, Georgia, South Carolina, North Carolina, Virginia, Maryland, Tennessee, Texas, the Virgin Islands, and the Bahamas, via offices located in Orlando, FL; Richmond, VA; San Antonio, TX; and Charleston, SC.

State of play: This week, we sold that company to Vacation Ownership Title Agency, Inc., with offices in South Florida, Nevada, California, and Hawaii. VOTA, together with PCS Holdings, is an affliliate of First National Trustee Company of America, a part of IQ-EQ.

What's next: While Philip and all other employees will remain with the company as it grows into its next phase, I will be — at most — an adviser or consultant for the company here and there as needed, freeing my time to pursue my next career journey. Be sure to read next week’s newsletter to see what that is ….

When we returned to the office after the signing, the crew greeted us with confetti bombs and streamers. They were blasting — as much as one can — music from their desktop computer speakers.

The bottom line: It was a momentous day for all of us, and we can’t thank our crew members, families, friends, advisers, and customers enough for everything they give back to us each day.

We hope you found this helpful — any feedback is appreciated and can be shared by hitting reply or using the feedback feature below.

Be on the lookout for our next issue! 👋