“Mortgage-backed securities (MBS) are investment products similar to bonds. Each MBS consists of a bundle of home loans and other real estate debt bought from the banks that issued them . . . The investor who buys a mortgage-backed security is essentially lending money to home buyers.”
“The only times the spread approached or exceeded 300 basis points were during periods of high inflation or economic volatility, like those seen in the early 1980s or the Great Financial Crisis of 2008-09."The graph below uses historical data to help illustrate this point by showing the few times the spread has increased to 300 basis points or more:
“It’s reasonable to assume that the spread and, therefore, mortgage rates will retreat in the second half of the year if the Fed takes its foot off the monetary tightening pedal and provides investors with more certainty. However, it’s unlikely that the spread will return to its historical average of 170 basis points, as some risks are here to stay.”
Selling a house is a significant life event, and getting the best possible price is a top priority. While location plays a major role, the condition and presentation o… Read more
From Nelida's Kitchen (Cocina)
As we celebrate Homeownership Month in June, it's important to recognize how owning a home can positively impact not only ourselves but also our furry friends. For pet… Read more
As older adults age, their need for home care may become greater. Many adult children of aging parents face pressure to take on a caregiver role as their loved one app… Read more
With spring just around the corner, it's fun to start thinking about how you might revitalize your garden once the winter blues have been blown away.
Facing a flooded home can be a daunting experience, but knowing what steps to take can help minimize damage and expedite recovery. Whether it's caused by heavy rains, … Read more
As we brace ourselves for the rainy season, it's essential to equip ourselves with the knowledge and tools needed to navigate through the downpours. With days of rain … Read more
Living in the beautiful region of Southern California comes with its perks—sunny weather, stunning landscapes, and a unique lifestyle. However, maintaining your home i… Read more
Your family is growing, and so are your needs when it comes to finding the perfect home. Whether you're expecting your first child or adding to your brood, finding a s… Read more
Providing clients with ultimate bespoke representation, customized marketing strategy, and a culture built on service. Excelling in exceeding expectations for buyers and sellers.