Mortgage Rates Hit 7-Year High


Just last week, the Federal Reserve increased interest rates, and extended the length of US bonds that directly affect consumer mortgage rates – hitting an all-time high since 2011. According to the Mortgage Bankers Association, the average 30-year fixed rate mortgage rates reached 5.05%. Freddie Mac weighed in with their 30-year fixed mortgage rates hitting 4.98%. This could be depicted as both good, and bad.

On one hand, a rise in mortgage rates is a sign of a healthy economy, however, the increase on mortgage rates are resulting in limited buying power. Some professionals in the industry see this as the start of what could be considered another recession. Personally, I don’t believe we will necessarily be in another recession, but I can say with certainty – when buying power becomes limited, home values tend to fall.

Allow me to explain. Just this time last year, mortgage rates were nearly an entire percentage less what they are now. 1% could mean the difference of being able to afford a $250,000 home and being able to afford a $200,000. Those who need to sell may find that in order to get their home sold, they will need to lower the price below the current fair market value. When this starts to happen, the over-all fair market value around those homes will also fall due to that sale.

There has already been a bit of a lull within the market, but is it 100% due to the increase in mortgage rates, and the limited buyer capabilities? No. Statistically, the past few years have grown in the number of buyers vs sellers. With there being a limited inventory, homes were being snatched up within hours of being listed in the MLS. Many buyers have grown weary of the race, the bidding wars, and now with the added frustration of the highest mortgage rates we have seen in 7 years, buyers are just plain tired.

In my professional opinion, mortgage rates are going to continue to rise – limiting buying power, and in turn will make it more difficult for sellers to get the most for their home. If  you’ve been sitting on the fence as to whether or not it’s time to buy or sell, stop! Act now, or you could be waiting years for another chance to come along.

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Earn Money for School!

Money for Your School

Want an easy way to earn money for school? I can help!

One of the benefits of working with me as your Realtor is the ability to give back to your school of choice. But what does that mean exactly?

It’s pretty exciting actually! Whenever you buy or sell with me, I will donate 10% of my net commission to the school of your choice. Not buying or selling anytime soon, but know someone who is? You can still earn the donation to your school by referring me! Upon successful closing of their transaction, I will simply make the donation in your name. It’s that easy!

I truly believe that giving back – especially to local schools that work ever so diligently to educate our youth is such an important part of building a strong community.

This all sounds great! … Now what?

There are three steps that you will need to complete in order to qualify for the donation.  (We recommend bookmarking this page so you can refer to it when you need to).

Step 1: Prior to placing an offer on a property, you need to email me your request to have a donation made to your school of choice. 

Step 2: After Closing of the property, you will need to send me another email within 10 days; kind of like a rebate program. 

Step 3:  Enjoy the wonderful feeling of making a difference in our community, and the education of our youngsters!

Donations will be made within 30 days after  your transaction has been approved, and will be made on behalf of Michelle McKinney and you, the client.

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Fall Leaves Bring Sold Signs


1. Serious Buyers – Let’s be honest, if buyers are out during the busy season, looking for homes, they are serious and ready to buy. Although the summer brings in a large crowd, that crowd contains a lot of people that are excited by the season, and fall into the “trend” of house hunting. These people sometimes end up not really being serious about the process, and tend to hold off for another time. If people are investing time to look during the fall season, they are more likely to be interested in actually buying your home, instead of touring it.

2. Less Competition – Selling in the fall isn’t something many families can accomplish due to personal schedules. That’s why a significant amount of homes get listed during the summer season – which means that summer time brings in a lot of competition. Selling in the fall means the potential house next door that has slightly more perks that may have been listed during the summer, doesn’t make your home sit stagnant, since everyone wanted your neighbor’s house. It also doesn’t devalue your home because of the house that could go up next door that could be under-priced in your neighborhood, and draw all of the attention.

With a slower season, you get dedicated attention to your property, which increases the chance of a sale.

3. Easier to Find Your Dream Home – Not only do you get to benefit from a slower season during the selling process, but you can also benefit on the buying side. With less competition on your dream house, you may get a better deal. The summer brings a lot of missed opportunities for buyers on their dream homes, because they go off the market instantly. This will give you the opportunity to get your home on the market and take your time to find the right one to resize into. A much calmer pace to the transaction will make it less stressful, and everyone all around happier. Don’t feel rushed into buying a home overnight during the summer, it could turn into a headache. If you want a far more peaceful transaction, that has calmer pace, then selling during the fall is perfect for you.

As an experienced Realtor in Palm Coast, I would be delighted to meet with you to discuss the possibility of listing your home. Please feel free to contact me so we can get together over a cup of coffee – my treat!


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