Its great to see the Fed actively participating in this market to help keep it from soaring rates into the 14-21% like in the 80s and 90s market correction. With rates and options like now, it is a good market to jump into. The inventory is available, the sellers are motivated. The sellers that aren't are the ones that don't have much equity in their home or simply will only sell if they get what they want. Those will sit. Sellers, if you have equity in your home, congratulations. In this day in age, The United States has less than a 1% savings rate. I wish I could cite that source, but I've heard it from many financial planners and analysts that I can't give credit to just one of them. When compared to China with savings over 40%, we really live in the now and not the later. Its the sad truth, and the truth hurts. The Fed is trying to help, but it is ultimately up to the consumer and the decision to use what is given to help keep things moving and people happy. Meanwhile, rent is going up. That is a fun trend to watch. The more the market falters, the more the landlords smile with fat pockets. The Lusk Center for Real Estate stated an increase in rent 6- 7% in both LA and Orange counties, around 5% in the Inland Empire, and about 5.5% in San Diego County. While they are going up, rental occupancy is going up to, but people aren't complaining as much. That appreciation is even more OUT of the pocket, not in. So, rent rates are going up and mortgage rates are going down. Let's see the outcome.
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