Name: "The Lowest Mortgage Interest Rates We've Ever Seen..." Real Estate Predictions by Barry Habib
Uploaded: 2020-03-05T20:00:50.000Z
Duration: 40 min 32 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

We have a special treat for you guys today. Barry Habib is on yet again.

Thanks for coming on the show again buddy.

We really appreciate you taking time out of your day to hang out with us.

I love you guys and I love what you all do. I think it's so important.

The messages that you have are critical and I'm excited about talking with you

I'm just going to rap about a few things that actually we talked about the other

day and I was just thinking, I was talking to you. I was like, man,

I wish we had the cameras cause the conversation was so good.

So we're going to bring a little bit of that up.

I also want to give you Kudos man on the show.

You were last on an April and you called the 10 year treasury back then.

You said that rates were going to stay low two shows ago when the NBA and

everybody else will say, we're saying they're going to go in the fives,

you said they're going to go low, which was very controversial. Here we are,

they're low again. You even said on the last show, hey, hold off.

This was crazy. That even mean, and usually I'm kinda in step with you.

hold off bellows on the roofies and that was contrarion rates are gonna go even

lower. And I'm, Oh my God, here we are again,

a 33 month low rates when even lower. So Kudos to you, man.

And I may ask you to make another one a little bit later on.

some predictions and I'll give some rationale as to why,

because the fact of it is, it's not, it's not something that, uh,

I think there's good factual basis as to why we see these things unfolding.

And based upon that, we'll share that with everybody. Perfect.

And I'm putting handcuffs, handcuffs on you today.

So we have obviously lender's watched the show,

realtors watched the show and we have a big consumer base now that's watching

the show. So you can't use big terms like Philip Fibonacci levels.

Maybe even the acronyms that we typically throw around.

I want you to like speak on a consumer level today. Really distill it down.

Okay. Is that okay? Of course we always do. Okay. Okay, perfect.

So my first kind of question that I know,

and people knew that you were coming on the show,

they're like ask very about what the hell is happening right now? And I'm like,

and so I'd ask, what do you mean? What do you mean? And they, they brought up,

well feds raised rates and then they lowered them. What the heck?

but there's a recession coming and then China's manipulating currency.

And now Amazon's in our space. What the Hell is going on? Barry?

Distill it all down for us. Okay, so let's take it a step at a time.

So let's talk first about the obvious one is rates.

there's a lot of different parts of this puzzle. Okay. So first of all,

what are some of the reasons why rates are low?

So the main driver of interest rates is inflation. Inflation is very, very low.

So just ask yourself why would rates go up significantly premiere,

Are we looking at an economy that has pricing pressure, pricing power, no. One,

one of the big things that people don't recognize is debt levels in a country.

it is almost a mirror image that you see interest rates decline.

It's like a family that is strapped and does not have any discretionary income

because they Bladen themselves with debt. Yup. It happened in Japan,

in China, in the UK, in the eurozone. And yes,

And if you look at the charts as debt levels go up, interest rates go down.

So if you think that debt levels are going to continue to be probably on the

rise, I certainly do with a lot of accomplishing everybody does.

That is going to be an anchor on interest rates. It will keep interest rates.

No level. Let's remember now, interest rates move in a straight line up or down,

right? They're going to vacillate. But if you would have this,

this image in your mind of a child with a Yo-yo on an escalator,

so while the child is Yo-yo may go up and down and you may have some

intermittent roofs, higher. The overall direction is going to be lower.

And this is very important for us to understand because if you look over the

I see interest rates the lowest they've ever been. We'll talk more about that,

but what I also see is that we have to understand this not in a straight line.

So there's strategies that we can employ here in the strategy.

If you're a consumer, the strategy if you're in a loan officer,

is that what you'd like to do here is see if it makes sense to refinance.

the data came out that 9.7 million households can not just benefit by a

but the real big number here is if they can benefit by refinance of three

quarters of a percent, which is very significant. So you know,

Roughly speaking for every hundred thousand dollars it's $50,000 a month at

three quarter percent so what I would say to you is,

is if you think rates are going to go lower like I do rather than completely

well maybe do a refinance now and do it with as little closing costs as

possible. You remember on our, on our talks in the past, I said,

you're not pay up front, am I? That's a stupid thing to do. Do not pay points.

That's a stupid thing to do because you will not hold this mortgage for a long

what I see happening is the mortgage that you're doing for customers today,

the mortgage that you do today will be refinanced in the future.

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"The Lowest Mortgage Interest Rates We've Ever Seen..." Real Estate Predictions by Barry Habib

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