Week in Review Bonds
Last Week in Review: Fed sparks economic reacceleration
Forecast for the Week: Looking for more improvement signs
View: Learn how to use social media to build and create relationships
Last Week in Review
The economic data coming out of the US this week showed that not only is a recession highly unlikely anytime soon, but the economy is actually reaccelerating from the slowdown seen last Fall.
Back in October and November, the Fed was very hawkish and suggested that three rate hikes would come in 2019. This caused angst and fear that economic conditions would slow to a recession. It also led to a sharp decline in Stocks and consumer confidence.
Fast forward just a couple months to January 2019, and the Fed completely reversed their position, and signaled there is no rate hike coming in 2019 or anytime soon. This new "wait and see" position from the Fed has set off a rally in Stocks and a surge in consumer confidence.
It has also sparked confidence and certainty in the business climate, thereby giving corporations reason to hire and retain employees.
And that was clearly evident this week as we saw yet another decline in Initial Jobless (Unemployment) Claims and the rate at which people are being fired from their jobs.
Bottom line: the economic resurgence has put upward pressure on rates this past week, but they remain near 12-month lows.
If you or someone you know has questions about home loans, give me a call. I'd be happy to help.
Forecast for the Week
Corporate earnings will continue to dominate the headlines, and what companies say about the future could have an effect on the financial markets.
Housing data along with Gross Domestic Product will be released in the upcoming week, and the markets will find out if the economy continues to strengthen.
In addition, global economic headlines will help define whether or not the reacceleration of US and global economic data will continue.
Should it continue, Stocks and home loan rates are likely to edge higher still.
Reports to watch:
Chart: Fannie Mae 4.0% Mortgage Bond (Friday, April 19, 2019)
The Mortgage Market Guide View...
Tip: Using Social Media to Build and Create Relationships
Many of today's relationships exist entirely over the internet. This has proven to be an advantageous way for real estate professionals to create and build strong relationships that could eventually lead to sales.
Become an expert in your neighborhood. Home buyers want to purchase a home from someone that not only understands the market, but the characteristics of the market. Social media gives real estate professionals the opportunity to show off their expertise in a specific neighborhood. By sharing upcoming events, commenting on new stories, and reminiscing about the history of the city, you can position yourself as an expert. When locals have questions or are looking to buy or sell, they are more likely to come to you.
Use social media to target buyers. Facebook has many advanced tools that can connect you with potential home buyers in your area. By using geo-targeted ads with specific interests, you can target the exact type of person who is willing to buy a home in your area.
Connect with warm leads. The buying and selling process can be lengthy. Consumers often start the process by gathering information. From here, it may be weeks or even months until they take action. Most real estate pros are familiar with this, as they gain leads that are 'just looking.' Social media offers the perfect mode for staying connected to those warm leads. Then, once you receive their contact information you can add them to your database and stay in front of them until they are ready to take action.
Social media is a valuable tool for real estate professionals. It allows you to not only create new relationships but to also strengthen them, setting you up as a trusted agent in your area.
Economic Calendar for the Week of April 22 - April 26
The son of a highly successful REALTOR in the region, Jim grew up around Main Line real estate. He ran his own construction company for two decades before turning to professional real estate sales in ....
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