Beards on the Street
Parry Ward and Aaron Pehrson, two Real Estate agents in Salt Lake City, Utah, with a team at Century 21 Everest called "The Luxury Agency". Beards on the Street is two seasoned agents chatting about Life Experiences, Love, Family, Friends and of course the Utah Real Estate Market conditions. Parry and Aaron primarily focus on a system coined "My Top 50" based around showing up for the people in there sphere consistently and with purpose.
Beards on the Street
Beards On The Street - Episode 34 - Real Estate Ripples and Habitual Harmony: Decoding Mortgage Market Opportunities and Cultivating Community Through Thanksgiving Traditions
Brace yourselves for a deep dive into the ebb and flow of mortgage markets with Cynthia DeJong from Inspiro Financial, where we unravel the complexities of current financial trends. Discover how the subtle decrease in interest rates could be the beacon of hope for aspiring homeowners, and hear firsthand the strategic moves to make in a fluctuating economy. We explore the possibility of an election-year buying frenzy and map out a golden opportunity for first-time buyers through an incredible down payment assistance program. If you've ever felt daunted by the home buying process, this is the conversation that could pivot your perspective.
Then, shift gears with us as we explore the ripple effect of small actions over time. Imagine the anticipation of a live concert or the soulful vibe of a blues festival; now apply that energy to your daily habits and watch the transformation unfold in your work, life, and community. We'll share how these principles strengthen our team, culminating in a Thanksgiving event that's about more than just turkey and trimmings. And because we're all about giving thanks, keep an ear out for the exclusive giveaway we've got lined up for our dedicated listeners. It's an episode that promises to leave you inspired to make those tiny, yet mighty, leaps towards a life of amplified impact.
Hey, hey, hey, welcome to Beards on the Street people. How are you two doing Morning, morning? Hey, I can hear you.
Speaker 2:We've had a little rough morning with technical difficulty. Yeah, we did, holy cow.
Speaker 1:You don't know what life's like until you lose your Wi-Fi and then you're like scrambling like a madman. But welcome, welcome. We've got a special guest here. We're going to jump right in because she's got another appointment, so we're going to get right to it and then we'll do our normal stuff, after A little bit of a shake-up here. By the way, that's a really cool office. You're in there, sin.
Speaker 3:Thanks, I borrowed it.
Speaker 1:I think you borrowed my dog too.
Speaker 3:I did, but he's laying on the floor now.
Speaker 1:All right, so we've got Cynthia DeJong here from Inspiro, or, as I like to call her, dejong Right.
Speaker 3:Yes.
Speaker 1:Okay, so let's get right to it. Cynthia is with Inspiro Financial. She's our go-to gal with our mortgage in the industry and we wanted to bring her on because it's been a little bit volatile, to say the least. Huh, Cynthia, the rates and what's going on there, but talk to us what's going on with the market right now.
Speaker 3:Well rates. I think everyone knows this. They've been crazy this year. They've been, we'll say, high for the most part, but in all seriousness, this is actually pretty normal for interest rates. Everyone got really comfortable with COVID and expecting really low interest rates in the threes and the fours fours. But most recently we've seen them come down just a little bit in the last week or so, which is good for any buyers and, honestly, any sellers because it's motivation to, you know, move forward on purchasing a home. Now's a great time. So yeah, the market I feel like it's doing great. I mean, if I'm being honest, it's been rough this year but it's stable.
Speaker 1:So I mean, if I'm being honest, it's been rough this year but it's stable and you do kind of like what you're helping me do right now. I mean, I'm buying a condo and just going to refi it when rates come down and get a little bit more reasonable.
Speaker 3:It's that simple. Yes, I mean, at the end of the day, you are marrying the house, not the interest rate. Right, rates are going to come down next year. We don't really know when, but you know, projection is that they're coming down and so right now, buy while you can, because next year, when rates come down, affording a home is going to be pretty difficult because the cost of the home is going to be substantially higher now. So, yeah, now's a great time.
Speaker 1:You know, I saw something I can't remember. And Aaron, maybe you sent it to me but the number of houses that are going to be built that were short, it was like 27,000 or something. Did you guys see that article or I saw it.
Speaker 2:Yeah, I didn't see it, but it doesn't surprise me at all.
Speaker 1:So I mean when the rates do drop a little bit. You know there's going to be a freaking feeding frenzy and it's going to be crazy. So why would you want to put yourself in that situation?
Speaker 2:I wouldn't. Everybody's talking about how, when rates come down this next year, that we're going to see kind of a run-up, just like it was in 22, when things really went out of control and we saw multiple offers and all that. So right now, like Cynthia's saying, you know, being able to put your name on a house and being able to at least tie it down and get a good price on it, and because, because prices aren't coming down, they're only, they're only staying strong and even increasing right now I think they projected price appreciation this year of about 7%.
Speaker 1:Wow, so can you see that on your screen, cynthia?
Speaker 3:Yeah, I can.
Speaker 1:Let's talk about this, this EPM.
Speaker 3:Okay, so this is a down payment assistance program that I've had personal experience with recently. Um, I think what we're seeing a lot of is the. The population that's never owned a home is more willing to buy right now than anyone that's owned a home in the past, because they're they're mentally tied to interest rates, um, versus being able to buy a home for the first time. So, that being said, we have a true grant, which is a down payment assistance for purchasing a home for first time homebuyers.
Speaker 3:Now, there are different definitions for first time homebuyers, so I'll give you a basic one. You have not owned a home in the last three years. So, that being said, it will provide either 2% down or the full 3.5%, which is the minimum down payment that is required to buy a home, that being said, after you've made your six payments. Once you've closed, that down payment is forgiven. There is no lien against your property. You don't have to pay a monthly payment or a second mortgage on this, as long as you've made your payments your first six payments and then what we would do is refinance your loan into a lower interest rate.
Speaker 2:Yeah, that's about the timeframe that you'd want to be able to turn around, and refinance, but it's also that's about the timeframe that you'd want to be able to turn around and refinance, but it's also sounds like the right, right around the time. Everybody's speculating, as we're leading into the election, that we'll actually see a rate drop that we can do something with.
Speaker 3:Absolutely.
Speaker 1:Well, you know it's, it's. I remember back in the day when I built my cabin, rates were up at 12%, 14%, so it's not that bad.
Speaker 3:I would say again, this is very normal interest rates, and I was talking to my kids about this the other day. I've got a son that will be 19. I bought my first house when I was 18 and my interest rate was 6.75%. So food for thought. Rates today on an FHA loan are 6.75. And I bought my first house in 2002. So we've seen the peaks and valleys of interest rates and markets and different things, but this is pretty normal.
Speaker 3:So back on the topic of interest rates FHA, like I just said, is 6.75. Like I just said, is 6.75. Conventional is 7.375. And then, for anyone interested in these down payment assistance programs, we have a few different ones Utah Housing it is a down payment assistance program. However, you do have to repay your second mortgage and those interest rates start anywhere between 6.875 and 7.625. And then our other grant programs are 7.75 and 8.25. So still really awesome.
Speaker 3:The one thing I wanted to mention about the grant program is that the interest rate's a little bit higher because the risk is higher. Our you know, our buyers or our clients aren't coming in to the transaction with really any money. They're coming in with zero dollars, essentially, and so interest rates typically are higher on those, but for the short term. So you make your six payments on time, they forgive the three and a half percent down payment and then what we call is a rate reduction, refinance, and we're able to do that after you've made your six payments. So for a short term six months your payment may seem, oh, it's a little bit high, I'm a little uncomfortable, but for the long term you didn't have to pay your down payment and it was forgiven, and it's not a second mortgage and you can just refinance in six months.
Speaker 1:Anybody out there, anybody out there that would like to find out more information about this program. Just reach out to myself or Aaron, or even Cynthia, and we'll we'll get you straight and find out exactly what it is you qualify for and get it going it's. I mean, it really truly is that simple. Just come in and sit down and we'll put you with Cynthia and and she'll very quickly be able to tell you what you can qualify for, correct.
Speaker 3:Absolutely. And one thing I was going to mention, even for any other agents that are watching this, I mean you know, the three of us haven't had experience together with this down payment assistance or grant program Specifically.
Speaker 3:I've worked with other agents on this, but the one that I just closed about a week ago. It was done in two weeks. There was no rushing, there was nothing. It's very black and white, like you meet the expectation or the guidelines that are set forth for the grant program and it is so smooth. Like I've done a lot of grant programs and down payment assistance and this is the easiest one by far I've ever worked with very cool and is there? Is there a cap on it or a limit?
Speaker 1:or or is it just wide open?
Speaker 3:so it is based off of FHA loan limits. So because the first mortgage is FHA, so depending on what county you live in, you'll have a cap based on that. So it'd be three and a half percent of the loan limit in that County.
Speaker 2:Okay, can I also add something that just when the when the buyer after that six months payment Cynthia is my understanding it doesn't require it's not a full file, it's not a full refinance to be able to work that process isn't it pretty strange.
Speaker 2:It's pretty streamlined for them, right? They're able to come in no appraisal, adjust their interest rate based on market rate and you just basically do it. It's called a streamlined refinance and it just basically brings you in alignment with where rates are at the time, and that's that's kind of the the thing we're looking at the strategy is they're not gonna. It's not a major normal qualification that you had to go buy the house to be able to refi that or streamline that.
Speaker 3:Right. So it's non-credit and non-income qualifying, as long as you've made your payments on time and you're not removing anyone off of the say you bought it with a spouse or a sibling, or whoever, as long as no one's being removed. Yeah, non-credit and income qualifying. You don't need an appraisal. Basically, what I ask you for is a utility bill. We do a verification of employment to make sure you're still employed and you can make your payment, um, but yeah, it's pretty simple. We get them done pretty quickly.
Speaker 2:And then you walk their interest rate down right as the rates come down. Cynthia, I'm glad you're talking about this. I have, funny enough, I have a lot of my real estate friends that are that typically watch these shows, and so, guys, if you're looking for this program and you're you're interested in some of what she does, I would say reach out to her.
Speaker 3:she's awesome I would love that. Any questions you have, even if it's just to to get familiar, if you have your own lender and they don't use this, um, please know, you can call me, I'll help educate you. And um, yeah, I just want to see everyone that has the opportunity to buy a home. Take advantage of this if you can. If you meet the guidelines for this grant program, take advantage of it Absolutely.
Speaker 1:So I've got your card up there, cynthia, her phone number is 385-279-5187. Give her a shout. Tell her you saw us on the program today. Dean, that's the wrong phone number, oh wrong number, so what is the right number I?
Speaker 3:don't know whose phone number that is, but don't call it. What is the right number? My cell phone number.
Speaker 1:That's funny.
Speaker 3:My cell phone number is 385-227-6991. You can call it, text it, whatever, but don't call that other number, dean.
Speaker 1:That came off the website. You need to go and fix your stuff.
Speaker 3:Why is that on the website I?
Speaker 1:don't know.
Speaker 3:Oh, that could be my office number. Sorry, I don't answer that phone number there, so just call my cell phone.
Speaker 2:And Sin, you've got a busy morning. We really appreciate you coming on here. You've got a role, don't you?
Speaker 3:Yeah, in just a minute. Okay, yeah, I have like a couple more minutes.
Speaker 2:Okay, cool.
Speaker 1:Okay, so we started reading the Compound Effect. For any of you out there that haven't read this book, I highly recommend it. Pretty stoked about this, this is actually the second or third time I've read this book and, man, it's a powerful book with just awesome, awesome tools on how to stop bad habits and, you know, basically get your shit together, right, aaron?
Speaker 2:Yeah, productivity hacks basically get your shit together, right, aaron. Yeah, productivity hacks how to make your life work and how to move the ball downfield, as they say, be productive. So it's been a lot of fun actually.
Speaker 1:Yeah, it's really really really good stuff in there.
Speaker 2:I'm excited for the packet and the thing we're going to be doing with the team to work through.
Speaker 1:Yeah, and that's the cool thing is they give you all these different worksheets, like you know, I mean on and on stuff. I should have brought one in here with me but I actually I've done about three quarters of it clear back when I read it the first time, about three quarters of it clear back when I read it the first time. But I'm going to definitely finish it up and as a team we're going to, we're going to do all these worksheets and and you know, really work through this to to make some big changes. You know it. Just, it just helps you stay focused. It's all about. You know, the whole compound effect is about doing little things every single day and that that compound over over the lifetime of what it is you're doing and it just gets bigger and better. It can go both ways. It can be a good thing or a bad thing. Man, sit down. I really like it based on that book, the last book that we read. It showed that graph where you're either going up or you're going down. There's no in between.
Speaker 1:If you're stagnant or you're going down, there's no in between. No in between if you're, if you're, if you're stabbing it, you're going down. Exactly. So you know and it's. It's just everyday, simple, easy little decisions that we, that we make, that you just got to pay attention to man.
Speaker 2:It really puts a light on that. Even I mean, kyle, even the, even the little, the little, over time you don't really have the perspective to understand where it leads you and how it impacts your life. So I really like the idea in the book.
Speaker 1:You know and. I like it too, aaron, because I mean we all have made our New Year's resolutions and you do them for two weeks and give up, and it's pretty forgiving you know it realizes that everybody's, everybody's gonna have something come up and and you just get right back on the horse and just pick up where you left off. Don't just, don't just give up absolutely so yeah, I'm pretty stoked about that. One dude Went to a concert last night. It was pretty all right.
Speaker 2:Yeah, talk to me about that.
Speaker 1:Missed that, unfortunately, but yeah, so talk about it. What were you doing, aaron? Oh man, you're just hanging out, right? You had a meeting, right, dude? All right. Anyways, you're going to tease me, dude? Huh, I'm not teasing you. I don't even know what you're talking about. I was just asking you what you were doing. You missed a good concert, buddy.
Speaker 2:I know.
Speaker 1:Yeah so yeah. Nick Moss down at the stateroom was just he's just awesome and and he's he's actually a really fun guy to to get to know and talk to um, you know, kind of a big teddy bear kind of guy.
Speaker 1:So a lot of fun and I just found out this week that old mr tabby ben was coming for the blues festival in june. Man, I'm stoked of my favorite favorite blues guys and he hasn't been here to Utah for quite a while. I've heard you talk about this guy. Yeah, I'm really happy he's coming into town. He's one of my favorites. The guy's amazing. That's awesome man. So look him up. If you don't know who Tab Ben-Lai is, look him up. Okay, have Ben Wise Look him up, cause he's. I'll check it out. He's awesome, awesome music. He's from he's from Houma, louisiana, awesome. Uh, what else is going on this week, aaron? What else we got? Um?
Speaker 2:well, there's a new game on Saturday. Yeah, you play Arizona and um, it's a 1230. So that it's a 1230, so that's going on, not going to probably make this one. I got a family Thanksgiving dinner Saturday, which I'm looking forward to Get to see my mom and my brothers and stuff Nice.
Speaker 1:Yeah, when is Rob's thing that we had on last week? When are we going to do?
Speaker 2:that it's Saturday morning. That's the big push, that's the big push, that's the big uh, that's the big drive. So, uh, saturday morning I'm gonna grab my kids. I know you're grabbing your wife and you're going, we're going out and doing some delivery to some families. Yeah, it's gonna be, I'm
Speaker 1:actually, I'm actually super excited about it. So am I such a great cause? Yeah, yeah, good old Rob Adams man, that dude, he's created quite a special thing, man, yeah.
Speaker 2:And not just here in Utah. I can't wait to talk about it this next week for sure.
Speaker 1:Yeah, I know We'll make sure we get lots of pictures and videos and share with you guys so you can experience it along with us.
Speaker 2:This upcoming week is also Thanksgiving, so we probably should talk about that. But are we going to be coming in on Friday for next week's episode?
Speaker 1:Yeah, or we can do it like we did this one and just do it remote, wherever we're at. Ah yeah, okay, you know what I mean, so we'll be on, for sure we're not going to miss Awesome.
Speaker 2:I do want to kind of let people know. We talked about this yesterday, dean, but we're going to have a drawing this upcoming month. We're starting a monthly drawing with our crowd. We're going to have some fun with it. So we're going to find something that we are super excited about, just a fun giveaway, giveaway, a significant giveaway, and then we're gonna push it out and ask for some participation with our crowd. I think, what do we say we're gonna do? We're gonna do a. We're gonna ask them to do some type of a picture for to enter themselves into the drawing.
Speaker 2:Yeah, yeah so anybody's watch for that. Guys, we're gonna call you. Um, it'll probably. I would say, um, let's center it around thanksgiving dean, where, okay, enter the drum. They need to be able to. They need to send us a picture of their thanksgiving. Perfect that'd be good, I like it yeah, that's.
Speaker 1:That's a great one. Just just a snapshot of of them hanging out with their family or friends, whatever it be yep.
Speaker 2:And guys, if you don't have, if you don't have somewhere you're going and you're listening to this and watching it with us. Why don't you reach out to us? I know that, dean, and I would enjoy it if you're. If you're not doing something or you don't have something to go and spend Thanksgiving with, I would open that invite to come out with me.
Speaker 1:Yes, sir, I agree, man, we don't want anybody to be having Thanksgiving alone. Yeah, All right brother. All right brother. Well, kind of a short one this week because we're pretty busy going on with life and business and remodels and that's another thing, Aaron is we're going to be posting a bunch of stuff on this remodel that we're doing. I'm excited about it.
Speaker 2:That's right man. Yeah, it's actually been fun to spend a couple hours on the afternoon and early evening with you, and we've just kind of been pushing through and doing a couple of the odds and ends before the skilled laborers come.
Speaker 1:Right Boy, I'm telling you, it's manual labor, baby. Makes you appreciate our cush jobs, doesn't it right? Yeah, I haven't worked in construction since I was about 19 years old yeah, so we're not, we're not made the same anymore, are we? No, no, half the time, half the time when I have to get down and work on my knees. I'm afraid I'm not going to make it back up, just the back guy rolling around on the floor.
Speaker 2:Dean this upcoming week and guys, if anybody's watching this, we need to do an introduction. We've got a couple new members on our team that we ought to maybe get on here and just highlight.
Speaker 1:Yeah, we'll do it for sure. Yeah, we've got uh travis is just joined us. We're so excited about this young man and and his potential and and uh, yeah, our team's growing dude. I'm loving it you know that's.
Speaker 2:That's what this whole thing has been about for us is we're helping, we're creating an environment that supports um, better relationships with, with our friends and our crowd, and we're teaching them to do the same, and so, uh, that's what I'm most excited about man is he's gonna, he's gonna, he's gonna add to our space and the in the mojo around here, which is only going to make this even better and funner.
Speaker 3:Yeah, and we've got a number of other people that we're interviewing as well.
Speaker 1:So I'm just I mean, I'm flat out just so stoked for our team and what we've got going on, so All right man. Well, you folks have a fantastic weekend. Go Utes yeah go Utes. Go Utes, everybody have a very nice and family-oriented Thanksgiving, and we mean it when we say it. If you've got nowhere to go, call us. Reach out to myself, or Aaron, that's right, call us.
Speaker 1:Don't be alone. No, do not do it. Alright, people Love you, appreciate you and make sure. If you haven't subscribe to our channel, please just go to YouTube Beards on the Street and subscribe. Have a fantastic weekend, people.