Mortgages Set to Boom
Fueled by a strong US Economy, growing at a level of 6-7% GDP and
historically low rates, the stage is set for a huge year in commercial
mortgages. We don’t expect the Fed to move anytime soon with
the election coming up. And with productivity growing at 8% in
the recent quarter business expansion should be robust.
There are still no tangible signs of inflation in goods or services,
so the FED has the green light to keep pumping money into the economy.
With the residential mortgage volume expected to fall another 30%
in the first quarter, developing a strategy to get paid on commercial
makes sense. To learn about a turn key solution, offering you numerous
commercial products, loan packaging, underwriting and more see
offer on page 13.
Continued Shift to Purchase market
As of December, mortgage applications were down 50% from the high
hit last May. We expect a continued decline of another 30% from
December levels by the end of the first quarter. That’s the
bad news. The Good News is your competition for local purchase
volume will be declining, as the Refi shops will be going away.
By the end of the first quarter, we are projecting a normal 80/20
purchase market. See graph. The only way to guarantee your volume,
is to be building purchase business and your market share. See
our offer on page 19, which reveals a systematic, step by step
approach to gaining purchase volume from your competition.