You may have seen the news that mortgage interest rates recently again dropped dramatically and are now the lowest since September 2024. The Freddie Mac website currently lists the 30-year fixed rate at 6.19% (with a regularly documented, tax return loan), and 15-year fixed is even at 5.44%.

"I love Alejandro. I have a good rapport with him. I met Alejandro a couple years back on a real estate project. That deal didn’t work out unfortunately, but I kept him in mind for several years. And I called him when I had a new scenario recently, and we got it done.  

“He is very professional and very personable. It’s rare to find that, I think. I find him very honest—he’s a really good guy. When I work with Alejandro, it’s fun and it feels like I’m working with a buddy.

My wife and I recently took a short trip to The Netherlands, where she is from. I took the opportunity to compare the US mortgage market and the Dutch mortgage market. The Netherlands has the fifth largest economy in the European Union.

Interest rates recently dropped again significantly, and they are now the lowest they have been in 11 months.

Owning real estate has many benefits compared to other assets such as stocks, bonds or cryptocurrency. Real estate is a reliable method of growing wealth that has stood the test of time for thousands of years.

Today, I wanted to share something about the Bond Chart with you and how it relates to mortgage rates. Because the Bond Chart, not the rate set by the Federal Reserve, is the true key to understanding mortgage rates. 

Today I would like to take a moment to talk about selecting a good real estate agent.

It has been my experience throughout the years that people find it difficult to know whom they can trust with the sale or purchase of a home (or other real estate property), and how to determine if a real estate professional has the necessary skills to do a good job. 

When you are planning to make a real estate purchase, it is absolutely crucial that you know how to properly estimate the price of the home (or other real estate property) in TODAY’s market. You need this information not only to determine what homes you can afford and what you should offer, but also because the lender on your mortgage  will send their own appraiser to estimate the value of the property, and they will not lend you more than that estimated value. (If there is a difference, you will need to come up with the difference in cash.) 

Mortgage interest rates have been fluctuating recently. This is not talked about a lot in the media, but  in the last two weeks, there was a large dip in interest rates, followed by a large surge, and then a slight decrease again.  

In this email, I will explain what is causing these fluctuations, and more importantly, I will explain what you can do to catch the market at a good time.  

One of the benefits of being a mortgage broker is that I have a front row seat to everything that is happening in the world of residential real estate and “small” business purpose real estate. By that I mean that I get to see what actual individuals and small business owners are doing in real time in terms of buying and selling homes and investing in properties. I find that very interesting.

Last week has seen a dramatic drop in mortgage rates.

The three main questions I receive on a daily basis are:

• Are mortgage rates going to come down some more?

• When will they get back to "normal"?

• How do I know when rates have hit bottom?  

Last week I accompanied three of my clients to the LA Fires Disaster Recovery Center on Pico Blvd in Los Angeles. I was there to provide free assistance to them in case they needed information about the nature of their properties or existing mortgages while applying for SBA disaster loans, FEMA assistance, the Water & Power Department, etc.

Earlier this month, Los Angeles was shook by several major wildfires, all happening simultaneously. I have been working in real estate in the Greater Los Angeles area since 2006, and a number of our friends and clients were directly affected.

Now that the fires are almost 100% contained and residents have been given the green light to return to their homes in all areas except one, the work of surveying the damage, cleanup and rebuilding begins.

“Alejandro helped me to set up passive income, because I was able to buy property. Years ago he helped me buy my first home, which I renovated, and last year I took cash out with his help. I used the money to invest, and it’s definitely helped me to do a whole bunch of stuff. I was able to buy myself a bunch of assets with that.”

Since 2020, many housing markets have experienced a sudden home price appreciation of close to 50% (up to 100% in some markets).

If you are one the lucky ones who invested in Real Estate in 2020 or earlier, you might be sitting on a sizable amount of equity.

Have you ever asked yourself where does Mortgage Money come from? How come that there seems to be un unlimited amount of funds for Mortgages?

If most mortgages take 30 years to get repaid, who sits around and waits to get paid off?

How does this impact you and your ability to obtain an affordable mortgage to either buy a home or business property? 

Fixing and flipping has become a popular concept in recent years, thanks to various TV shows. When you know what you are doing, it is a great way to earn money and help improve communities. In order to pull off a successful fix and flip, experience is key, and it is one of the requirements of a fix and flip loan.

However, even with experienced fix and flippers, sometimes things don’t go as planned.

Many of my clients are actively looking to buy a home. In the last few years, it has been frustrating for many people to buy something in a Seller's Market. It has been difficult to find anything that makes financial sense.

This started to change in May of 2024.

A very successful business owner had been building up her business for over 20 years and was ready to upgrade to her dream home.

Last month, Alejandro was back on the Million Dollar Mortgage Experience podcast for an interview with FundLoans CEO Jon Maddux.