Mortgage Update - February 17th, 2025
The š¢ of emotions this week was for real!! From our REbel event with over 350 attendees, to rates soaring and then plummetingā¦ it honestly feels like we got hit by a metaphorical š!
But looking back, the week wrapped up on a high note. Letās break down some of the most impactful events that affected us all last week.
Letās goooo!
We are posting regular content to Instagram (Nick | Kreg) and Facebook (Nick | Kreg) to help you and your buyers stay informed. Be sure to follow us!
Read time: ~4 minutes
Mortgage Rates: Hot Mess Express šš„
A chart for those inquiring about interest rates this week š·š„
Mortgage rates were legit all over the place this week! Over the span of just a few days, the same website featured the following headlines literally 2 days apart:
It's comical to see such a wide discrepancy in reporting within just a few days. We went from an apocalyptic day on Wednesday to angels singing for the mortgage gods on Friday. Let's breakdown what happened.....
Inflation Spikes to Dangerous Levels š©š©
The mortgage rollercoaster took off on Wednesday morning following the release of the Consumer Price Index (CPI) inflation report. Every CPI reading came in scorching š„š„š„:
CPI Month-over-Month: Actual: +0.5% | Estimate: +0.3%
CPI Year-over-Year: Actual: +3.0% | Estimate: +2.9%
Thereās no sugarcoating itāthis is bad. Bad for mortgage rates and bad for the economy. The Fed has repeatedly stated its target inflation rate is 2%, yet inflation is now rising to 3%! š Given these numbers, there is absolutely no incentive for the Fed to cut interest rates anytime soon. The chances of the Fed keeping rates unchanged in March is now at 97%. Ain't no rate cut coming anytime soon!
Key Takeaway: Inflation is heading in the wrong direction. As it continues to rise, the Fed is likely to keep rates steadyāor even consider raising them to cool inflation. The chances of a rate cut in March are now almost nonexistent.
DOGE & Weak Retail Sales Drop Rates
Nick and I found ourselves sitting across from each other at dinner Wednesday night, staring into our tiramisu-turned-soup, questioning our life choices. With rates spiking to 7.15%, we couldn't help but wonderāwhat the hell was going on in the mortgage world?
For a hot second, we even contemplated if we should start looking for jobs selling cars or starting an Only Fans account....(I kid, I kid! š¤£)
Then, as the mortgage gods always do, we were blessed with rates pulling back on Thursday and Friday!
The first major factor behind this sudden shift? The current administration:
Again, Nick and I will always remain neutral and bipartisan. Our goal is to break down what's driving the real estate and mortgage market. Right now, it's clear that economic traders are reacting to the current administration's ongoing push for lower rates, and mortgage rates improved shortly after this tweet.
Then came the cherry on topāFriday morningās weaker retail sales report. Remember, mortgage rates tend to drop when economic data comes in weaker than expected. By the end of it all, rates dipped back below 7% in just two days! Thank you, sweet baby Jesus!
Key Takeaway: Weaker retail sales and a push for lower rates helped, but hitting sub-6% will take a major job market slowdown.
Glennda SHINES @ REbel 2025
After years and years of preparation, our REbel 2025 event is officially in the history books.
Central Ohio SHOWED UP at Retreat 21 on Thursday. Almost 400 real estate agents, loan officers, insurance reps, title reps and small business owners came together under one roof. Attendees gained insights on how they can rebel against the standards in their industry, gain attention and propel their career to the next level.
On behalf of myself, Nick, Ryan and Justin, THANK YOU to our significant others, families and kiddos for the support through the preparation of the event. We missed countless events, family dinners and bedtime routines pulling things together. THANK YOU to the sponsors! Without your support, this event would have genuinely never happened. Lastly, THANK YOU to YOU who showed up, gave us your time/attention and left promising to us and yourself that youāll do the hard work to take your business to the next level.
And donāt worry, weāll be rebelling again in 2026 š¤š¤