Home Qualified Insider Network News | Episode 18

By: Ralph DiBugnara on July 17, 2025 By Paul Centopani Reviewed By Aleksandra Kadzielawski July 11, 2025 https://themortgagereports.com/121026/first-time-home-buyer-advice-q3-2025 Mortgage shoppers may have something to smile about heading into August. The average 30-year fixed mortgage rate dropped slightly to 6.72% at the end of July, marking the second straight week of declines and continuing a 28-week streak of staying below 7%. While that’s a promising sign, most housing experts aren’t predicting a dramatic drop anytime soon. Instead, the outlook for August suggests rates will hold steady or inch downward as inflation data and economic indicators continue to evolve. Mortgage Rate Recap - Where We Stand According to Freddie Mac: 30-Year Fixed Rate (July 31): 6.72% (down from 6.74% the week prior) 15-Year Fixed Rate: 5.85% (down from 5.87%) This modest decline comes despite a 3.8% drop in mortgage applications, signaling continued uncertainty and caution from prospective homebuyers. Will Rates Fall in August? The expert consensus leans toward stability, with some potential for gradual downward movement depending on inflation reports, labor market trends, and the Fed’s next moves. Ralph DiBugnara, President, Home Qualified Prediction: Rates will moderate "July’s Fed meeting will most likely show us more of the same strategy we have seen this year—which is hold interest rates and no raise or cut. The Fed Chairman seems to want to see a significant drop in inflation before he agrees to cut. But there is a chance he can reverse course slowly to a cutting strategy because of the immense amount of pressure he is receiving. Not only is the President calling for a cut but the world economy has seen multiple countries cut rates over 2025." "If he does cut, I do not think it will be fast and probably will bleed over into 2026." Other Expert Predictions Danielle Hale (Realtor.com): Expects mortgage rates to gradually fall as inflation data improves, possibly reaching the 6.4% range by year-end. Selma Hepp (Cotality): Anticipates no Fed rate cut in August but sees growing pressure for action in September due to mixed employment and housing data. Tony Julianelle (Atlas Real Estate): Believes rates will stay in a tight range unless there's a significant shift in inflation or labor figures. Sam Williamson (First American): Projects mortgage rates to remain in the upper 6% range until a clearer disinflation trend emerges. Kelly Zitlow (Cornerstone Capital Bank): Cites Fed caution and global instability as key reasons for continued rate moderation. Matt Pettit (Mountain West Financial): Notes that while optimism remains for future rate cuts, the timeline appears delayed. Mortgage Rate Trends: Where We're Headed in 2025 Although rates are higher than they were during the pandemic years, they remain below historic averages—and may trend slightly lower in the coming months. Month Avg 30-Year Rate July 2024 - 6.85% August 2024 - 6.50% September 2024 - 6.18% October 2024 - 6.43% November 2024 - 6.81% December 2024 - 6.72% January 2025 - 6.96% February 2025 - 6.84% March 2025 - 6.65% April 2025 - 6.73% May 2025 - 6.82% June 2025 - 6.82% July 2025 - 6.72% The National Association of Realtors predicts the third-quarter average could settle around 6.4%, while the Mortgage Bankers Association forecasts 6.8%. Either way, rates appear to be trending slightly lower heading into the fall. Strategies for Mortgage Shoppers in August 1. Get Pre-Approved, Not Just Pre-Qualified This helps you move faster when making an offer and shows sellers you’re a serious buyer. 2. Have Your Financial Documents Ready With rates still fluctuating, speed is critical. Being prepared can help you lock in a favorable rate when opportunity strikes. 3. Shop Around for Lenders Rates can vary significantly between lenders, especially during uncertain periods. Getting 3–5 quotes can save you thousands. 4. Choose the Right Loan for Your Situation 5. Monitor Inflation and Economic Data The mortgage market is data-driven. If inflation readings and job numbers come in cooler than expected, you may see rates ease. But a surprise spike could cause an upward reversal. VA Loans: Ideal for eligible veterans and service members. No PMI, competitive rates. FHA Loans: Great for lower credit scores or minimal down payments. Conforming Loans: Flexible with just 3% down and good credit. USDA Loans: For rural buyers with low to moderate income. Jumbo Loans: Best for high-priced homes exceeding conforming loan limits. Final Thoughts: Be Prepared, Not Reactive While August may not bring a major drop in rates, the signs are pointing toward eventual relief later this year. The Fed continues to monitor inflation and economic signals, and although immediate cuts aren’t likely, a downward bias is building into fall. If you're planning to buy or refinance, staying informed, getting pre-approved, and actively comparing lenders will put you in the best position—no matter which way rates move in the short term. Looking to lock in the best rate today? Start comparing lender offers to find the most competitive deal for your situation.

By: Ralph Dibugnara July 29, 2025 n this power-packed episode of the Real Estate Talk Podcast, hosts Rob Kyleman and Joshua Britt sit down with Ralph DiBugnara—president of HomeQualified and VP at New American Funding. With over $40 billion in closed loans and decades of real estate and mortgage experience, Ralph dives deep into the evolving housing market, the future of credit scoring, rising costs, Airbnb oversaturation, crypto’s role in real estate, and the generational shifts reshaping buyer behavior. Whether you’re a first-time homebuyer, agent, or investor, this episode is a masterclass in surviving—and thriving—in today’s unpredictable market. Key Takeaways: 1. The Market Is Local—Really Local “It’s almost like dealing with different countries. ”Ralph emphasizes that the housing market is no longer just cyclical—it’s fragmented. With wildly different inventory, pricing, and demand across states, agents and buyers must now adopt hyper-local strategies. 2. Rising Costs Are the Real Barrier “Interest rates are high, taxes are high, insurance is high, cost of goods is high. "Affordability in 2025 is being attacked from all angles. Between a 6-million-unit housing deficit, multiple-offer bidding wars, and inflation across the board, Ralph stresses that buyers need patience—and strategy—to win. 3. Value Lies in the Fixer-Upper “You either have to buy something older and do the work, or find something that needs to be reconstructed and do the work. "With turnkey homes out of reach for many, Ralph advocates for long-term investment in value-add properties. While rehab costs are also rising, the opportunity lies in sweat equity. 4. Time Is the Great Equalizer in Real Estate “If you can hold on for five years, you can outrun a bad investment. "Ralph shares a personal story of a condo he held through the 2008 crash and sold 20 years later for a profit—highlighting real estate’s resilience versus volatile investments like stocks or crypto. 5. Social Media Is a Tool—If You Stay Real “I’m not trying to be a market predictor. I just show what I’m actually going through. "For agents or investors looking to build a brand in 2025, Ralph suggests using platforms like Instagram and YouTube to share real, unfiltered experiences—not just glossy wins. 6. The New Investor Trap: Chasing Shiny Objects “Social media can speed up a process that shouldn’t be sped up. "The Growth Trap,” as Ralph calls it in his book, describes when people stall without realizing it. In real estate, that often comes from trying to skip steps. His advice? Partner with experienced investors and learn from their pain. 7. Vantage 4.0: A Double-Edged Sword? “The credit score model may look better for younger generations—but banks will still adjust their risk standards. "Vantage 4.0 may give credit for non-traditional habits like Afterpay or rent payments, but Ralph warns it won’t replace due diligence or underwriting fundamentals. 8. Airbnb: Not What It Used to Be “The market got flooded, regulations tightened, and now you’re competing with corporations. "Ralph notes that while Airbnb was once a goldmine, it’s become saturated, over-regulated, and competitive—especially in non-tourist towns. Viable short-term rental markets remain, but they’re rare and hyper-regulated. 9. Crypto Is Coming… But Not How You Think “Most lenders see it like stocks—real, but you’ll need to liquidate it to use it.”While crypto is gaining acceptance, it won’t fully enter mainstream mortgage underwriting until privatization of Fannie/Freddie or non-QM lenders step in. 10. 2025 Forecast: No Major Rate Drops Yet “We might see a symbolic cut, but it won’t move the needle much.”With global pressure mounting and recession shadows growing, Ralph predicts minor rate cuts in the near term but warns that substantial relief likely won’t come until Jerome Powell exits the Fed in 2026. Standout Quotes from Ralph DiBugnara :“Real estate, long-term, will outrun all the bad investments you make in it.”“Every loss I take in this business, I treat as an expensive education. ”The only way I see value in buying real estate right now is buying older or distressed and doing the work.”“Social media is reality TV—just show your actual reality and you’ll connect. ”Crypto is a real asset now—but you’ll still need to liquidate to use it in most lending situations.” Final Thoughts: Ralph’s blend of street-smart experience and big-picture insight makes this episode a must-watch for anyone navigating today’s housing market. His honesty, resilience, and forward-thinking approach remind us: the rules of the game may change, but fundamentals—patience, knowledge, and community—never go out of style. Watch the full episode: Disruptors Network YouTube Channel Get Ralph’s book: The Growth Trap – Available on Amazon Explore Ralph’s platform: HomeQualified.com. For a visual overview and additional insights, you can watch the full video here: https://www.youtube.com/watch?v=tkc2Hvmh6F4

By: Ralph DiBugnara on July 17, 2025 By Paul Centopani Reviewed By Aleksandra Kadzielawski July 11, 2025 https://themortgagereports.com/121026/first-time-home-buyer-advice-q3-2025 Thinking About Buying a Home? Read This First. Navigating the housing market can feel overwhelming—especially if you’re buying for the first time. With fluctuating rates, changing inventory levels, and mixed signals in the economy, it’s no surprise that many would-be buyers are unsure whether to jump in or wait it out. But here’s the good news: Quarter 3 of 2025 is shaping up to be surprisingly favorable for first-time buyers—if you know how to move smart. ________________________________________ What Makes Q3 2025 Different? Across the country, inventory is increasing, concessions are becoming more common, and prices in overheated markets are starting to cool. Some areas, like parts of Florida and Texas, are seeing oversupply, while others remain highly competitive. That’s why understanding your local market is key. According to housing expert Ralph DiBugnara, president of Home Qualified, the real advantage for first-time buyers this quarter lies in access to support. “What new home buyers are getting the benefit of is much more down payment assistance and grant programs than have been available over the last 15 years,” Ralph says. “This has been a major positive in helping new buyers.” ________________________________________ How to Navigate the Chaos Even with uncertainty around the economy and government policy, Ralph emphasizes the importance of staying grounded and disciplined. “The best thing a new home buyer can do in today’s market is create a personal budget and stick to it,” he advises. “High rates, high insurance costs, and possible bidding wars can always make it seem like spending more is necessary. I believe having a budget that includes what housing payment is affordable can keep buyers out of making a bad investment.” In other words, you don’t need to chase perfection—you need to pursue what’s right for you. ________________________________________ Opportunity + Strategy = Advantage If you’re a first-time buyer in Q3 2025, you’re in a unique position: • There are more homes on the market than we’ve seen in years. • Sellers are offering rate buydowns, concessions, and flexibility. • You may now qualify for programs that can significantly reduce upfront costs. It’s a window that rewards preparation and patience. And the buyers who win are the ones who know their numbers, understand their needs, and act when the right opportunity appears. ________________________________________ The Bottom Line It’s not about waiting for the market to be perfect—it’s about being ready when it’s good enough for your goals. Q3 2025 might just be that moment. If you’re serious about buying your first home, now’s the time to align your finances, lean on trusted professionals, and make your move with confidence. Need help understanding your options? Let’s talk down payment programs, current rates, and how to get pre-approved. Shoot me a message, and let’s get you one step closer to the keys

By Ralph Dibugnara March 13, 2025 March 8, 2025 By Martin Dasko According to a recent Realtor.com report, the median asking rent price for the 50 largest metropolitan areas was down 0.2% annually in January, making the cost of living that bit easier to afford. The research found that even though the median rent increased from $1,695 in December to $1,703 in January, it was the 18th consecutive month where rents fell on an annual basis. The positive for renters is that there are numerous major metro areas where the rent is more affordable now. These are the top metros where rent is more affordable than last year. The list is organized by percentage price drop year over year. The rent prices are for any unit, from a studio to a two-bedroom condo. Denver-Aurora-Centennial, Colorado Year-over-year rental price change: -5.6% Median monthly rent: $1,796 Income spent on rent: 20.2% Income spent on buying: 33.4% Austin-Round Rock-San Marcos, Texas Year-over-year rental price change: -4.8% Median monthly rent: $1,467 Income spent on rent: 17.2% Income spent on buying: 30.3% San Diego-Chula Vista-Carlsbad, California Year-over-year rental price change: -4.8% Median monthly rent: $2,695 Income spent on rent: 31.4% Income spent on buying: 57.7% Memphis, Tennessee-Mississippi-Arkansas Year-over-year rental price change: -4.3% Median monthly rent: $1,177 Income spent on rent: 21.1% Income spent on buying: 30.8% Riverside-San Bernardino-Ontario, California Year-over-year rental price change: -4.1% Median monthly rent: $2,065 Income spent on rent: 28.8% Income spent on buying: 43.6% Chicago-Naperville-Elgin, Illinois-Indiana Year-over-year rental price change: -3.6% Median monthly rent: $1,776 Income spent on rent: 24.6% Income spent on buying: 24.8% Dallas-Fort Worth-Arlington, Texas Year-over-year rental price change: -3.5% Median monthly rent: $1,445 Income spent on rent: 19.5% Income spent on buying: 29.3% Phoenix-Mesa-Chandler, Arizona Year-over-year rental price change: -3.5% Median monthly rent: $1,488 Income spent on rent: 20.4% Income spent on buying: 36.6% San Francisco-Oakland-Fremont, California Year-over-year rental price change: -3.3% Median monthly rent: $2,708 Income spent on rent: 24.3% Income spent on buying: 41.4% Atlanta-Sandy Springs-Roswell, Georgia Year-over-year rental price change: -2.9% Median monthly rent: $1,565 Income spent on rent: 21.4% Income spent on buying: 28.4% Does Buying in These Areas Still Make Financial Sense? With rental prices dropping, it’s worth exploring if it still makes sense to purchase a home in one of these areas. Here are a few key points to consider before making a decision. Low Rents Could Be an Opportunity To Enter the Real Estate Market Lindsey Harn, a real estate agent at Christie’s International Real Estate, said she’s a big believer in buying when the right opportunity comes along. She added, “If rents are lower, landlords may finally be ready to sell their properties, which means you have more inventory and more options to consider when buying.” If you’re looking for a place to live, this may be an excellent opportunity to get your foot in the door without competing with as many cash investors. Low rental rates could indicate that the local landlords aren’t making as much in profit and may be looking to liquidate their assets. This could be an ideal time to browse through listings to see if you could purchase a home for a lower listing price. Buying May Help Stabilize Your Monthly Payments Ralph DiBugnara, a real estate expert and president of Home Qualified, pointed out that renting has been cheaper than owning in major cities for longer than anyone expected. He explained, “Even though this has been great news for renters, long-term rental will continue to rise, and the only way to fix your housing payment is to have financing or own real estate.” DiBugnara believes your mortgage payment will be lower than rent payments in five years, which would help stabilize your monthly housing expenses. He also mentioned that renters will struggle to lower costs without downsizing their space, while homeowners could refinance at a lower rate in the future to bring down how much they’re spending. DiBugnara said, “I believe owning will always be more advantageous than renting for long-term financial health.” Consider Your Personal Situation Even though rent prices are slowly decreasing in many major metros across the country, this doesn’t necessarily reflect your financial situation. As always, you should take into account your own personal situation before deciding on a significant investment like a home. You’ll want to think about some of these factors before deciding if it makes sense to buy or rent: Your job stability: If your job isn’t stable or if you’re concerned about potential layoffs, you don’t want to commit to homeownership, because the expenses could quickly pile up. Your savings and debt: If you have consumer debt or if your savings account isn’t where you want it to be, you’ll want to continue focusing on saving up until you’re ready to commit to homeownership. Your lifestyle: If you’re looking to start a family or just want some stability in your life, purchasing a home may make sense. It’s clear that the market is going through some changes. You want to ensure that you review all possible options with your living situation so that you make a decision that aligns with your needs and goals.

By: Ralph DiBugnara on July 10, 2025 By Erik J. Martin | Updated July 8, 2025 | Reviewed by Aleksandra Kadzielawski Published on 🔗https://themortgagereports.com/54100/how-soon-can-i-refinance-after-i-close-on-my-mortgage Refinancing your mortgage doesn’t always require a long wait. Depending on the type of loan you have—and sometimes the lender—it may be possible to refinance immediately after closing, or in as little as six months. The article provides a comprehensive breakdown of timelines, eligibility requirements, and strategic reasons to refinance, including lowering monthly payments or accessing home equity. What the Experts Say Ralph DiBugnara, President of Home Qualified, encourages homeowners to look beyond just interest rates: “What’s most important to focus on is, what are the monthly and lifetime savings of the loan? What are the costs? And how long will it take you to recover those costs with the savings you’ll earn?” This underscores the importance of doing a cost-benefit analysis before jumping into a refinance. It’s not just about qualifying—it’s about making the refinance work for you over time. Minimum Wait Times by Loan Type Conventional Loan: Immediately (but often 6 months if using the same lender) FHA Loan: 6–12 months depending on refinance type VA Loan: 210 days or 6 on-time payments, whichever is longer USDA Loan: Usually 12 months of on-time payments Jumbo Loan: No federal rules—wait depends on lender policies Top Reasons to Refinance Lower Interest Rate Reduce your monthly mortgage payment and save on total interest costs over time. Shorten Loan Term Move from a 30-year to a 15- or 20-year loan to pay off your home faster and pay less interest overall. Switch to Fixed Rate If you have an adjustable-rate mortgage (ARM), switching to a fixed-rate loan locks in stability and predictability. Tap into Home Equity Use a cash-out refinance to fund home improvements, consolidate debt, or cover large expenses like college tuition. Remove Mortgage Insurance FHA borrowers can eliminate mortgage insurance premiums (MIP) by refinancing into a conventional loan—often once they’ve built 20% equity. Manage Divorce Settlements Refinancing allows one partner to remove the other's name from the mortgage, ensuring clean ownership during a property settlement. Refinancing Costs & Considerations Closing Costs: Usually 2%–5% of the loan amount Credit Score: Impacts approval and interest rate offers Loan Term Trade-Offs: Longer terms lower your payment but increase interest paid over time Prepayment Penalties: Check your current mortgage terms Impact on Equity: Refinancing resets your loan, which may delay equity growth if you’re extending the term When Should You Refinance? The right time is a balance between market trends and personal financial readiness: Have interest rates dropped since your last loan? Has your credit improved or your home value increased? Do you have a clear goal—lower payment, faster payoff, access to cash? If so, a refinance could offer long-term financial benefits. Use online calculators to find your break-even point—the moment your refinance savings outweigh the costs. How to Refinance – Step-by-Step Prepare Documents (pay stubs, W-2s, current mortgage statements) Compare Lenders (get quotes from at least 3) Apply for a Loan (be ready to explain your refinance goals) Complete Underwriting (may involve a home appraisal) Close the New Loan (review final terms, sign documents) Final Insight If you bought your home just a few months ago, refinancing might already be on the table. And with the right timing and financial strategy, it can save you thousands over the life of the loan. Just make sure you’re not focusing solely on a shiny interest rate—analyze the full cost and long-term savings, just as Ralph DiBugnara advises.

By Paul Centopani June 26, 2025 By: Ralph Dibugnara June 30, 2025 Mortgage rate forecast for next week (June 30-July 4) https://themortgagereports.com/32667/mortgage-rates-forecast-fha-va-usda-conventional Mortgage rates decreased for the fourth consecutive week. The average 30-year fixed rate mortgage (FRM) declined to 6.77% on June 26 from 6.81% on June 18, according to Freddie Mac. It marks 23 straight weeks below 7% for the average 30-year FRM. Mortgage rates in 2025 have been experiencing a subtle but important shift. After climbing sharply in 2023 due to aggressive Federal Reserve rate hikes aimed at taming inflation, rates have now started to show signs of stabilizing and even easing slightly. As of late June 2025, the average 30-year fixed mortgage rate stood at about 6.77%, marking four straight weeks of decline and maintaining a level below 7% for over five months. This sustained period below 7% is significant given that mortgage rates had surged well above that in previous years. Why is this happening? The Federal Reserve is walking a tightrope: Inflation has cooled down somewhat, but the Fed is cautious because tariffs and geopolitical events (like tensions in the Middle East) could push inflation back up. The Fed’s officials, including Chairman Jerome Powell, have been in a “wait and see” mode—hesitant to cut rates until there’s clearer evidence tariffs aren’t causing inflationary pressures. The labor market has shown mixed signals, with some revisions suggesting it’s not as strong as initially thought, which could eventually pressure the Fed to ease rates to stimulate the economy. The global economy also faces uncertainty from trade tensions and geopolitical conflicts, which traditionally tend to lower interest rates as investors seek safer assets. What about July 2025? Experts overwhelmingly predict mortgage rates will mostly moderate rather than dramatically rise or fall during July. The mix of cautious Fed policy, persistent inflation concerns, and geopolitical risk means rates will likely stay in a narrow band. Ralph DiBugnara’s Perspective: Ralph DiBugnara, founder at Home Qualified, describes the market as “a predicament going into July,” highlighting several important points: Signs Point to Potential Rate Cuts: Historically, threats of war or geopolitical instability tend to push mortgage rates lower because investors flock to safe assets like Treasury bonds, which pulls down yields and consequently mortgage rates. Fed’s Pause on Rate Cuts: However, the Fed remains cautious and has paused rate cuts, largely because it is uncertain about the inflationary impact of tariffs and is monitoring economic data before making moves. Closer to Lower Rates Compared to Earlier: DiBugnara believes we are closer to seeing lower mortgage rates now than at the start of the year, suggesting a gradual easing environment ahead, rather than sudden shifts. Specific Rate Predictions: He forecasts the average 30-year fixed mortgage rate in July to be around 6.875%, with the 15-year fixed rate at about 6.375%. These levels suggest a slight improvement over the high rates seen previously but still reflect a relatively high-rate environment compared to the ultra-low rates seen in 2020-2021. Additional Expert Views & Trends Other economists and mortgage experts echo a similar outlook of rates remaining mostly flat or slightly declining, with the possibility of “rollercoaster” ups and downs due to tariff expirations, Fed meetings, and economic data releases. Most forecasts from major housing authorities put Q3 2025 rates in the 6.4% to 6.8% range, confirming a mild but steady downward trend. The “new normal” mortgage rate is considered to be around 7%, according to some experts, with the ultra-low rates of the pandemic era seen as exceptional outliers. What Should Borrowers Do? Shop Around: Rates can vary widely between lenders based on credit score, down payment, and financial health. Be Prepared: Mortgage market volatility means borrowers should get pre-approved and act quickly if they find a good deal. Manage Expectations: Rates may not drop drastically soon but are expected to gradually improve throughout the year. Understand Loan Types: Different loan programs (VA, FHA, USDA, jumbo) offer varied rates and benefits depending on the borrower’s profile. How to shop for interest rates Rate shopping doesn’t just mean looking at the lowest rates advertised online because those aren’t available to everyone. Typically, those are offered to borrowers with great credit who can put a down payment of 20% or more. The rate lenders actually offer depends on: • Your credit score and credit history • Your personal finances • Your down payment (if buying a home) • Your home equity (if refinancing) • Your loan-to-value ratio (LTV) • Your debt-to-income ratio (DTI) To figure out what rate a lender can offer you based on those factors, you have to fill out a loan application. Lenders will check your credit and verify your income and debts, then give you a ‘real’ rate quote based on your financial situation. You should get three to five of these quotes at a minimum, then compare them to find the best offer. Look for the lowest rate, but also pay attention to your annual percentage rate (APR), estimated closing costs, and ‘discount points’ — extra fees charged upfront to lower your rate. Summary Takeaway Mortgage rates in July 2025 are expected to moderate, possibly edge down slightly, but will remain historically elevated compared to pandemic lows. The Federal Reserve’s cautious stance, ongoing inflation concerns, and geopolitical risks are keeping rates relatively stable, with the potential for modest declines if economic conditions allow. Ralph's insight encapsulates the uncertainty and cautious optimism: rates might soften soon, but for now, it’s a “wait and see” environment with moderate levels around 6.875% for 30-year fixed mortgages.

By: Ralph Dibugnara June 5, 2025 As the real estate market continues to shift in 2025, one trend stands out: the sharp decline in the purchase of vacation homes. According to a recent analysis shared in a YouTube video, the number of mortgages taken out on second homes has reached its lowest point in 20 years. This downturn in activity presents a potential goldmine for buyers who know where to look. Why the Drop in Vacation Home Purchases Matters Over the past year, fewer people have been investing in second homes—often used as vacation or short-term rental properties. Rising interest rates, economic caution, and declining returns from platforms like Airbnb have made many prospective buyers hesitant. As a result, inventory in these areas is building up. This slowdown could lead to a surplus of properties on the market, especially in popular tourist destinations that previously saw high demand from investors. In turn, this increased inventory may drive prices down and create unique opportunities for strategic buyers. The Airbnb Effect: Inventory on the Horizon Short-term rental markets, especially those reliant on Airbnb income, are now seeing a pullback. As fewer buyers take on new mortgages and many owners reconsider the profitability of managing vacation rentals, more homes are likely to be listed for sale in the next 12 to 24 months. This means we could soon see a wave of former short-term rentals hit the market. For buyers, this anticipated supply boost represents a rare opportunity—especially if prices remain suppressed due to low competition. A Buyer’s Market for the Right Type of Property Even though some investors may be cautious about re-entering the Airbnb business, the speaker in the video notes that these properties still hold value—particularly for owner-occupants. If you're looking to purchase a home in a desirable area and live in it, now could be the perfect time to get in before demand rebounds. In other words, this isn’t just a play for rental investors. People looking for a second home, a relocation opportunity, or even a primary residence in a scenic area can benefit from today's soft market conditions. Looking Ahead The decline in vacation home buying isn't just a statistic—it's a signal. With fewer buyers, growing inventory, and reduced competition, 2025 may offer some of the best buying conditions in years for certain segments of the real estate market. Whether you're an investor waiting for the right moment or a future homeowner eyeing a dream location, keeping an eye on the short-term rental market could lead you to your next big opportunity. For a visual overview and additional insights, you can watch the full video here: https://youtube.com/shorts/riNsRqLCkVQ?si=En3MKSlTJgqLfB1b

By: Ralph Dibugnara June 2, 2025 You’ve probably heard the advice everywhere: “Buy real estate!” But Warren Buffett, one of the world’s greatest investors, famously says he prefers stocks over real estate. So, why the difference? Let’s break down the perspectives. Real Estate’s Strong Historical Track Record The video points out that over the last 83 years, real estate has appreciated in value for 77 years — an impressive record. The only years it declined were during major market crashes, making it a relatively safe investment for the average person. Real estate’s consistent growth comes from fundamental factors like: Limited housing supply Increasing demand due to population growth Its status as a tangible asset For most people looking for a solid, understandable way to grow wealth, real estate ticks many boxes. Warren Buffett’s Unique Position and Preference Warren Buffett’s investing journey is unique. He built his fortune in a time when stock investing had less competition and inefficiency that he could exploit. Today, he has access to sophisticated financial tools and inside knowledge, enabling him to make complex, high-level stock investments. For Buffett: Stocks offer greater liquidity They provide ease of diversification He can make more sophisticated investment choices These advantages make stocks a better fit for his style and resources. What This Means for Most Investors If you’re an everyday investor: Real estate is still one of the best “simple” investments for building wealth. It provides steady growth, tangible value, and potential rental income. The housing shortage and demand trends support continued appreciation. Buffett’s advice is shaped by his unique skills and resources, but for most people, real estate remains a solid, long-term investment choice. Conclusion Warren Buffett’s preference for stocks doesn’t mean real estate is a bad investment. Rather, it highlights that different investments work better for different investors depending on their knowledge, capital, and goals. For many people seeking a straightforward, historically reliable investment, real estate remains a powerful way to grow and protect wealth.

By: Ralph Dibugnara By Yaёl Bizouati-Kennedy May 8, 2025 https://www.realtor.com/advice/finance/what-is-an-acceleration-clause/ t’s no secret that the double whammy of inflation and high interest rates continues to hurt Americans’ finances. Further compounding the issue, an Insurify survey found that “homeowners will again face rising insurance costs in 2025 as insurance companies try to recoup massive losses from recent years.” The insurance comparison shopping website projects the annual cost of home insurance will increase 8% by the end of the year, to a national average of $3,520.” In turn, these combined high costs can result in missed mortgage payments. In fact, as of Feb. 28, 2025, the total U.S. loan delinquency rate stood at 3.53%, representing a 5.69% year-over-year change, according to Intercontinental Exchange data. While missing one mortgage payment might not seem catastrophic, homeowners should be cautious about one specific clause in their contract: the mortgage acceleration clause. What is a mortgage acceleration clause? A mortgage acceleration clause is a provision in the mortgage contract that stipulates the lender may “accelerate” payments under certain circumstances. It's part of the standard mortgage agreement used by Fannie Mae. But even if your mortgage is not backed by Fannie Mae, most lenders have some form of an acceleration clause in place. “If a homeowner fails to fulfill the terms of their mortgage agreement, they’ll receive an acceleration letter notifying them that the lender has triggered the acceleration clause,” according to Rocket Mortgage. "If any terms of the loan agreement are not met, the mortgage note holder has the right to call the note," adds Ralph DiBugnara, a vice president at Residential Home Funding. What can trigger an acceleration clause in real estate? Various situations can initiate the implementation of this clause, and understanding your contract and its terms is crucial. Missing payments When homeowners miss a mortgage payment, lenders can use this clause. “The number of payments that can be missed before a lender demands repayment can vary based on several factors, such as the loan documents, laws and regulations, investor guidelines, and lender policies,” according to Chase Bank. Lack of insurance Another instance that can trigger this clause to be implemented is if you cancel your homeowners insurance for whatever reason. As Rocket Mortgage explains, “your lender will require you to maintain homeowners insurance so that the property can be repaired if it’s damaged to restore its market value.” Unpaid property taxes The clause can be implemented if you fail to pay your property taxes, and this could result in a lien against your home, according to Quicken Loans. To put this in context, a recent survey from real estate resources website Ownwell found that 74% of respondents worry about significant increases in their annual property tax bills. Bankruptcy and unauthorized property transfer An acceleration clause can also be enacted by your lender in the instance of a bankruptcy, as well as in the case of an unauthorized and unapproved property transfer. What can you do if your mortgage is accelerated? If you receive a mortgage acceleration clause letter, there are a few steps you can take. "It's important to note that even if your mortgage is accelerated, you can still avoid foreclosure," explains Adam Sherwin of the Sherwin Law Firm, in Somerville, MA. "It doesn't mean that there's no other option left." Case in point: The legal foreclosure process "can’t start until you are at least 120 days behind on your mortgage,” according to the Consumer Financial Protection Bureau. A lender doesn't have to accelerate your loan to foreclose on your home, explains Sherwin, but often it will. "It's kind of a formality," Sherwin explains. "It's one last chance to pay before the foreclosure process begins." Mortgage acceleration repayment plan One option is mortgage acceleration repayment plans. Quicken Loans explains that this enables owners to pay missed payments, and once they’re caught up, regular mortgage payments will be reinstated. “Some lenders are flexible and may even make a repayment plan available so you can catch up on defaulted payments without a large lump sum payment,” according to Quicken Loans. Refinancing Refinancing loans might also be an option, but this is not available to everyone, especially if the acceleration clause is implemented due to missed payments, as these “have a significant impact on your ability to qualify,” according to Rocket Mortgage. Short sale This means that the home will be sold for “less than the balance remaining on the mortgage,” and the proceeds of the sale will go toward the loan, according to Chase Bank. Finally, there are also some preemptive steps you can take if you believe you will miss a mortgage payment. For instance, homeowners can ask for mortgage assistance. Some lenders will help you if you experience a hardship due to an unexpected life event such as job loss, illness, or a natural disaster. "Each servicer has their own specific guidelines for modification," says Sherwin, but they may extend your loan's terms, reduce your interest rate, or come up with a delayed repayment schedule that works for both parties. Updated from an earlier version by Audrey Ference.