Hello All,

I find myself sitting in my office on this freezing Thursday afternoon in Baltimore, Maryland with my heater blasting and my heavy wool sweater on, thinking back to Monday when we had temperatures near record highs and sweaters were the furthest thing from my mind. I thought to myself there is no way this will last, but man isn't nice to get a break like this every now and then.

Today, as usual we have been slapped back into reality with cold weather and the forecast of snow. Not only is the physical environment changing back for the worse, but also in our lending environment. This weather conundrum got me thinking back to the beginning of the month, and where our interest rates were. Many of us were seeing rates that we thought were a thing of the past. We all knew it could not last, but man wasn't it nice to just see it is possible again. Then in a matter of days, we see mortgage rates jump up over 1%. Talk about a slap in the face. 

It brings me to my main point. The loan environment is ever changing, and even less predictable than the weather. In this day and age no one knows when the next correction is coming, or when exactly the housing market is going to turn around. So in this time of uncertainty it is extremely important to move quickly in the mortgage market. If you are happy with your loan program, or you are trying to get pre-qualified take the necessary steps immediately to put the wheels in motion. The fact is, who knows what the rate will be tomorrow, or even if the program you need still exists. We have seen the rapid downfall and changes to sub prime, the volatility of interest rates, and now we are seeing many FHA lenders begin to price and qualify loans based on Credit Score! The ultimate, "credit score does not matter" program, is now trying to protect itself.

Just like the weather, an astute mind may be able to see these things coming, but no one really knows if it is going to be the blizzard of the century or just a dusting until it actually hits. Either way, it does not pay to drag your feet. Just ask the person who forgot to buy toilet paper before the storm. 

Happy Borrowing,

Brent Jeannetta