1
00:00:00,000 --> 00:00:07,520
Thank you for joining us for Take 10, Lisa Wiles with the LTW group at Fairway.

2
00:00:07,520 --> 00:00:09,560
And Corey Frills with the same welcome.

3
00:00:09,560 --> 00:00:10,560
So far.

4
00:00:10,560 --> 00:00:11,880
We're so glad you're here.

5
00:00:11,880 --> 00:00:13,960
Yes, we are.

6
00:00:13,960 --> 00:00:19,320
Like our usual selves, let's dig into the market because it's been a roller coaster.

7
00:00:19,320 --> 00:00:20,320
It has.

8
00:00:20,320 --> 00:00:21,320
Yeah.

9
00:00:21,320 --> 00:00:25,760
So, Friday of last week was a very, very bad day for the market.

10
00:00:25,760 --> 00:00:31,520
So had a hot jobs report come out much higher than expected, push rates an eighth higher

11
00:00:31,520 --> 00:00:32,520
in a day.

12
00:00:32,520 --> 00:00:33,680
That was fun.

13
00:00:33,680 --> 00:00:37,600
So if you're at 7, it goes to 7.125.

14
00:00:37,600 --> 00:00:41,000
If you're at 7.25, go 7.25.

15
00:00:41,000 --> 00:00:47,000
Spent a couple days in misery, weeping and gnashing of teeth, sadness all around.

16
00:00:47,000 --> 00:00:48,080
Sadness.

17
00:00:48,080 --> 00:00:55,440
And then Wednesday, we get an inflation report, a consumer level inflation CPI came out better

18
00:00:55,440 --> 00:00:56,440
than expected.

19
00:00:56,440 --> 00:01:05,240
Although the economists were saying that it was not going to, why did it not come in

20
00:01:05,240 --> 00:01:06,240
at expectation?

21
00:01:06,240 --> 00:01:07,240
Yeah.

22
00:01:07,240 --> 00:01:12,200
So the headline actually came in at expectations are a little hotter than expected.

23
00:01:12,200 --> 00:01:15,640
But the core rate, which is what the Fed looks like, that's what they look at.

24
00:01:15,640 --> 00:01:19,680
That takes out food and energy costs because super volatile and the Fed can't control

25
00:01:19,680 --> 00:01:20,680
it.

26
00:01:20,680 --> 00:01:27,920
They can send rates to a thousand and if oil is what it is, you got OPEC control and oil

27
00:01:27,920 --> 00:01:29,920
and then food is what it is.

28
00:01:29,920 --> 00:01:32,720
You could have a swine flu and you got pork problems, right?

29
00:01:32,720 --> 00:01:34,120
There's nothing interest rates can do about it.

30
00:01:34,120 --> 00:01:39,560
So the core rate actually came in a little cooler than expected, which bond traders liked.

31
00:01:39,560 --> 00:01:42,120
I think it was an outsize reaction both ways.

32
00:01:42,120 --> 00:01:43,280
I think they're jumpy.

33
00:01:43,280 --> 00:01:48,000
I think they got too excited on Friday and sent yield soaring.

34
00:01:48,000 --> 00:01:54,520
And then they just need a little good news to bring yields back into orbit on Wednesday.

35
00:01:54,520 --> 00:01:56,560
Because they realized they overreacted.

36
00:01:56,560 --> 00:01:57,560
That's right.

37
00:01:57,560 --> 00:01:59,840
So bond traders are jumpy.

38
00:01:59,840 --> 00:02:01,840
Our thoughts are out there with the bond traders.

39
00:02:01,840 --> 00:02:02,840
Yes.

40
00:02:02,840 --> 00:02:04,000
It's hard out there trading bonds.

41
00:02:04,000 --> 00:02:05,000
It's hard.

42
00:02:05,000 --> 00:02:08,320
And which they set mortgage rates ultimately.

43
00:02:08,320 --> 00:02:14,640
So we expect some volatility in rates.

44
00:02:14,640 --> 00:02:18,560
And this is really difficult in practice for us because if you guys are shopping on a weekend,

45
00:02:18,560 --> 00:02:21,080
Saturday, Sunday, you call us and ask us for a payment.

46
00:02:21,080 --> 00:02:23,800
We're going to give it to you based on what we had Friday.

47
00:02:23,800 --> 00:02:25,120
But Monday, we get...

48
00:02:25,120 --> 00:02:26,680
It's a whole different world.

49
00:02:26,680 --> 00:02:27,680
Yeah, right.

50
00:02:27,680 --> 00:02:29,400
And then so it's a challenge too.

51
00:02:29,400 --> 00:02:32,440
You'll have people that, you know, they'll be introduced to us and they want to shop

52
00:02:32,440 --> 00:02:34,040
us on a Saturday or Sunday.

53
00:02:34,040 --> 00:02:36,600
And it's like, we're not really shopping anything because...

54
00:02:36,600 --> 00:02:38,160
We don't even know what the rates are going to be Monday.

55
00:02:38,160 --> 00:02:39,160
We'll get new rates on Monday.

56
00:02:39,160 --> 00:02:40,480
Can't do anything about it.

57
00:02:40,480 --> 00:02:41,480
All that's safe.

58
00:02:41,480 --> 00:02:43,600
Things are very volatile.

59
00:02:43,600 --> 00:02:47,920
In my opinion, and people have been asking, clients have been asking me, what would you

60
00:02:47,920 --> 00:02:48,920
do?

61
00:02:48,920 --> 00:02:49,920
Would you lock?

62
00:02:49,920 --> 00:02:54,480
I think there's a lot more of the ability for the rates to get worse than to get better.

63
00:02:54,480 --> 00:03:01,640
So knowing that, I don't think the rates are in any position to wow you into like...

64
00:03:01,640 --> 00:03:06,120
But if we get news of any great data coming across, we're going to let you know because

65
00:03:06,120 --> 00:03:07,680
we want you to get the better rate.

66
00:03:07,680 --> 00:03:11,280
But until then, I would lock it up.

67
00:03:11,280 --> 00:03:15,040
We typically say we need a compelling reason to float.

68
00:03:15,040 --> 00:03:19,400
We need a compelling reason not to lock in a rate when we get a contract.

69
00:03:19,400 --> 00:03:24,600
Just too much can go wrong and it always hurts more when it goes up than it feels good when

70
00:03:24,600 --> 00:03:25,600
it comes down.

71
00:03:25,600 --> 00:03:29,040
Like even when you make the right call and it gets better, you know, that's great, but

72
00:03:29,040 --> 00:03:31,680
it really hurts when you make the wrong call and it goes up.

73
00:03:31,680 --> 00:03:32,680
Yeah.

74
00:03:32,680 --> 00:03:33,680
So that's the market for you.

75
00:03:33,680 --> 00:03:37,040
On that note though, into February.

76
00:03:37,040 --> 00:03:40,280
So when we get January's inflation data.

77
00:03:40,280 --> 00:03:44,160
Right now, that's kind of the next time that I see an opportunity for rates to actually

78
00:03:44,160 --> 00:03:46,440
get better materially.

79
00:03:46,440 --> 00:03:49,360
Into February, keep an eye on that.

80
00:03:49,360 --> 00:03:53,920
And that'll be CPI in February for the month of January.

81
00:03:53,920 --> 00:03:57,760
And I think we're going to maybe even have a market report at that time.

82
00:03:57,760 --> 00:03:59,520
So we'll keep you up to date on that.

83
00:03:59,520 --> 00:04:01,520
We'll keep you up to date.

84
00:04:01,520 --> 00:04:02,520
Yeah.

85
00:04:02,520 --> 00:04:06,520
Something that I dug in on, thank you for the market data.

86
00:04:06,520 --> 00:04:10,160
Something I dug in on this week was getting more information about medical bills and how

87
00:04:10,160 --> 00:04:11,160
it affects your credit score.

88
00:04:11,160 --> 00:04:16,040
Because I have a client that they were surprised at what their credit score pulled.

89
00:04:16,040 --> 00:04:18,560
And the only thing on there was a medical bill.

90
00:04:18,560 --> 00:04:21,360
And I thought that that didn't matter anymore.

91
00:04:21,360 --> 00:04:22,360
Yep.

92
00:04:22,360 --> 00:04:23,360
Nope.

93
00:04:23,360 --> 00:04:25,040
It does matter, but not for long.

94
00:04:25,040 --> 00:04:26,040
Okay.

95
00:04:26,040 --> 00:04:27,040
Thank God.

96
00:04:27,040 --> 00:04:28,040
Yep.

97
00:04:28,040 --> 00:04:31,920
So, and I've seen the same thing, like clients with impeccable credit and then one of your,

98
00:04:31,920 --> 00:04:38,800
you know, you'll have like 770, 765, and then they'll throw up a 680 on the third bureau.

99
00:04:38,800 --> 00:04:40,480
And you go look at it as a medical collection.

100
00:04:40,480 --> 00:04:42,320
They had no idea it was even a thing.

101
00:04:42,320 --> 00:04:43,320
Right.

102
00:04:43,320 --> 00:04:45,440
You get so much mail and you don't know what to pay and whatever.

103
00:04:45,440 --> 00:04:48,920
Well, and sometimes they just hand that bill over to collections and you thought your insurance

104
00:04:48,920 --> 00:04:49,920
paid it.

105
00:04:49,920 --> 00:04:50,920
That's right.

106
00:04:50,920 --> 00:04:54,760
It's just a mistake on their books, but it could really damage your credit.

107
00:04:54,760 --> 00:04:57,800
And so that is no longer going to be a thing.

108
00:04:57,800 --> 00:05:00,000
It finally passed, I think, in the last.

109
00:05:00,000 --> 00:05:03,160
The CFPB released a bulletin on the 7th of January.

110
00:05:03,160 --> 00:05:04,160
Yep.

111
00:05:04,160 --> 00:05:08,080
And it takes effect 60 days after it gets into the final register.

112
00:05:08,080 --> 00:05:09,080
Yep.

113
00:05:09,080 --> 00:05:10,080
What is the final register?

114
00:05:10,080 --> 00:05:11,080
You ask?

115
00:05:11,080 --> 00:05:12,080
We don't know.

116
00:05:12,080 --> 00:05:14,080
But that's where it's getting released.

117
00:05:14,080 --> 00:05:15,760
That's what it's going to be.

118
00:05:15,760 --> 00:05:17,000
And we will find it.

119
00:05:17,000 --> 00:05:20,200
We will find out what that actually means, but that is a weird.

120
00:05:20,200 --> 00:05:24,560
Proactively, something that we've decided to do as a team is we're going back through

121
00:05:24,560 --> 00:05:30,240
all of our borrowers that had credit scores below qualifying credit score where they

122
00:05:30,240 --> 00:05:32,280
should be to qualify.

123
00:05:32,280 --> 00:05:33,720
And we're going to go through those reports.

124
00:05:33,720 --> 00:05:37,320
And if there's medical bills on there, we're going to reach out and see if we can bring

125
00:05:37,320 --> 00:05:38,640
some of your buyers back.

126
00:05:38,640 --> 00:05:41,480
Again, this whole take 10 is one more deal.

127
00:05:41,480 --> 00:05:43,080
We're just going to try to get you one more deal.

128
00:05:43,080 --> 00:05:44,080
That's right.

129
00:05:44,080 --> 00:05:45,080
So it's good to know.

130
00:05:45,080 --> 00:05:47,840
I've seen, I mean, there's some big ones, especially like I saw a lifestyle collection

131
00:05:47,840 --> 00:05:49,240
one time for six figures.

132
00:05:49,240 --> 00:05:50,240
And a hundred thousand dollars.

133
00:05:50,240 --> 00:05:52,240
You think that hurts your credit?

134
00:05:52,240 --> 00:05:53,240
Yeah.

135
00:05:53,240 --> 00:05:54,240
I mean, you never mind a house with that.

136
00:05:54,240 --> 00:05:56,360
So it's going to make a big impact for a lot of people.

137
00:05:56,360 --> 00:05:57,360
Super excited.

138
00:05:57,360 --> 00:05:58,360
It's the right thing to do.

139
00:05:58,360 --> 00:06:03,440
Circling back around and look, having the lender look at the credit again, re-qualifying

140
00:06:03,440 --> 00:06:08,000
those borrowers that had issues with medical collections.

141
00:06:08,000 --> 00:06:10,960
That's a huge opportunity.

142
00:06:10,960 --> 00:06:12,640
Because those people are buyers.

143
00:06:12,640 --> 00:06:18,800
So also just to say on credit, any credit issues that come up, we would love to, we

144
00:06:18,800 --> 00:06:21,000
can do a soft credit pull, you guys.

145
00:06:21,000 --> 00:06:25,880
It doesn't hurt your customer for them to allow us to review the credit.

146
00:06:25,880 --> 00:06:30,400
Make sure they're in a good space to make those offers and give us also the opportunity

147
00:06:30,400 --> 00:06:31,400
to correct it.

148
00:06:31,400 --> 00:06:36,240
Because we do have the rapid re-score that we can utilize if it's appropriate and if

149
00:06:36,240 --> 00:06:37,240
needed.

150
00:06:37,240 --> 00:06:41,720
We have software where when we pull a soft credit report, again, no impact to credit.

151
00:06:41,720 --> 00:06:42,720
Super important.

152
00:06:42,720 --> 00:06:45,040
There's no reason a borrower should not reach out to us.

153
00:06:45,040 --> 00:06:46,040
Correct.

154
00:06:46,040 --> 00:06:47,480
Soft credit pull doesn't impact their credit.

155
00:06:47,480 --> 00:06:51,800
We can actually look at that credit report, throw it into an algorithm and say, if you

156
00:06:51,800 --> 00:06:54,200
do X, Y, and Z, we can get you here.

157
00:06:54,200 --> 00:06:59,040
And I would say, I mean, it is a regular occurrence.

158
00:06:59,040 --> 00:07:04,040
Perhaps weekly, you pull credit on somebody and you can increase it 40, 50 points by paying

159
00:07:04,040 --> 00:07:05,800
down a credit card.

160
00:07:05,800 --> 00:07:07,480
And not even like a big credit card.

161
00:07:07,480 --> 00:07:10,960
The big thing is like store cards with a $1,000 limit.

162
00:07:10,960 --> 00:07:16,760
Somebody will have 600 bucks on a $1,000 card and it'll push their credit down 30 points.

163
00:07:16,760 --> 00:07:17,760
Just pay it off.

164
00:07:17,760 --> 00:07:18,760
Easy fix.

165
00:07:18,760 --> 00:07:19,760
It's an easy fix.

166
00:07:19,760 --> 00:07:21,280
But don't be doing it on your own.

167
00:07:21,280 --> 00:07:24,360
Because if you do it on your own, you may do it wrong and actually hurt your credit.

168
00:07:24,360 --> 00:07:25,360
That's right.

169
00:07:25,360 --> 00:07:26,920
Let us look at it and we'll tell you what to do.

170
00:07:26,920 --> 00:07:27,920
Let us help you.

171
00:07:27,920 --> 00:07:28,920
What about condos?

172
00:07:28,920 --> 00:07:29,920
Are they fun?

173
00:07:29,920 --> 00:07:30,920
You having a good time with condos right now?

174
00:07:30,920 --> 00:07:31,920
No.

175
00:07:31,920 --> 00:07:32,920
I'm not having fun with condos.

176
00:07:32,920 --> 00:07:36,320
I am the freaking condo queen.

177
00:07:36,320 --> 00:07:37,840
That is my thing.

178
00:07:37,840 --> 00:07:41,400
And they are the redheaded stepchild right now.

179
00:07:41,400 --> 00:07:42,600
They are not fun.

180
00:07:42,600 --> 00:07:48,960
So here's what I ask to all you amazing realtors out there.

181
00:07:48,960 --> 00:07:54,880
When you're listing a condo, get with the HOA and start understanding maybe a basic

182
00:07:54,880 --> 00:07:55,880
questionnaire.

183
00:07:55,880 --> 00:08:01,240
We are happy to provide a basic HOA condo document questionnaire just to understand

184
00:08:01,240 --> 00:08:04,280
what the pitfalls are and what you're going to be running into.

185
00:08:04,280 --> 00:08:11,240
And then because right now we're working on trying to have legal documents match the HOA

186
00:08:11,240 --> 00:08:14,120
shares and it's just a big jumbled mess.

187
00:08:14,120 --> 00:08:16,960
Does the master insurance not cover the right things?

188
00:08:16,960 --> 00:08:18,520
So we're correcting all this stuff.

189
00:08:18,520 --> 00:08:19,840
It takes time.

190
00:08:19,840 --> 00:08:23,040
And so let's think about this stuff up front.

191
00:08:23,040 --> 00:08:25,440
Are they approved for FHA financing?

192
00:08:25,440 --> 00:08:26,960
Are they only approved for conventional?

193
00:08:26,960 --> 00:08:29,240
Are they approved for neither?

194
00:08:29,240 --> 00:08:34,160
And there are links and we'll provide those links in the notes on how to see if the condos

195
00:08:34,160 --> 00:08:39,360
approved for HUD financing and FHA and USDA and all of those government loans.

196
00:08:39,360 --> 00:08:46,520
So we can dig more into condos later, but we're coming up on our time and we have some

197
00:08:46,520 --> 00:08:48,720
really funny comments.

198
00:08:48,720 --> 00:08:49,720
We do.

199
00:08:49,720 --> 00:08:50,720
We have to.

200
00:08:50,720 --> 00:08:54,840
So we've had a fun week with social.

201
00:08:54,840 --> 00:08:56,960
You guys missed us for a couple weeks.

202
00:08:56,960 --> 00:09:01,080
We've been having people sick and vacations.

203
00:09:01,080 --> 00:09:07,160
So there's one, if you don't follow us, it's LTW group is our Instagram handle, LTW group.

204
00:09:07,160 --> 00:09:08,640
It's so funny.

205
00:09:08,640 --> 00:09:13,720
And we're also on TikTok of which I do not have a TikTok, but that's about to go underground.

206
00:09:13,720 --> 00:09:19,160
You're gonna have to like black market that was very popular on TikTok this week.

207
00:09:19,160 --> 00:09:24,280
There was a real posted of me in like two years of video outtakes, like just me like

208
00:09:24,280 --> 00:09:29,720
pausing before a video millennial pause rubbing my face in anguish.

209
00:09:29,720 --> 00:09:30,720
It was hysterical.

210
00:09:30,720 --> 00:09:31,720
So funny.

211
00:09:31,720 --> 00:09:35,120
I was not aware of its production, but I'm so happy that it came out there.

212
00:09:35,120 --> 00:09:40,320
One of the comments on TikTok was he's obviously beekeeping age.

213
00:09:40,320 --> 00:09:45,680
And the Gen Z on our office says as a compliment based off of video, then I'm going to take

214
00:09:45,680 --> 00:09:47,480
that in stride.

215
00:09:47,480 --> 00:09:51,040
I do have friends that do sourdough chickens and bees.

216
00:09:51,040 --> 00:09:52,040
So it's not.

217
00:09:52,040 --> 00:09:53,040
I had to ask.

218
00:09:53,040 --> 00:09:56,200
I was like, what's beekeeping age?

219
00:09:56,200 --> 00:09:57,440
Is that actually me?

220
00:09:57,440 --> 00:10:01,840
Someone else said the only advice I like to hear and I don't say anything in the video.

221
00:10:01,840 --> 00:10:02,840
I don't say a word.

222
00:10:02,840 --> 00:10:06,760
That's the only advice that she likes to hear.

223
00:10:06,760 --> 00:10:10,720
So with all that, you guys get onto our social.

224
00:10:10,720 --> 00:10:11,720
It's funny.

225
00:10:11,720 --> 00:10:12,960
I'm signing off today as Karen.

226
00:10:12,960 --> 00:10:14,200
I'll let you find that one.

227
00:10:14,200 --> 00:10:15,600
You got to watch Lisa's video.

228
00:10:15,600 --> 00:10:19,240
I freaking, there's like, there's 2,500 views in 2000 or me.

229
00:10:19,240 --> 00:10:20,400
It is so funny.

230
00:10:20,400 --> 00:10:21,400
It is so funny.

231
00:10:21,400 --> 00:10:23,280
Well, we appreciate you guys.

232
00:10:23,280 --> 00:10:24,280
Thanks for your time.

233
00:10:24,280 --> 00:10:26,440
Thanks for letting us be a part of it.

234
00:10:26,440 --> 00:10:30,480
We work weekends after hours at theltwgroup.com.

235
00:10:30,480 --> 00:10:33,080
Thank you.

236
00:10:33,080 --> 00:10:35,520
Talk to you next week.

237
00:10:35,520 --> 00:11:03,600
Bye.