Economic Update for Mortgage Consultants
John Bergman
CEO/Co-Founder, WorldClass | President/Founder, On Q Financial | Chairman, Jointly
This link is in line with my economic thoughts. With Germany likely exiting the Euro in 2017, the China bubble starting to crumble (I’m already seeing early signs), and oil dependent countries struggling - it’s too much to be held back from a worldwide slowdown. Trump is adding a lot of stimuli and that’s good short term and long term for the US economy. No one knows for sure, but my best guess is that there will be a slowdown in the middle due to what’s been building.
What does that mean for rates? There is a probability of higher rates in the short term and most likely higher rates in the long term, but there could be an economic disruption/lower rates in-between those time periods.
MCs: What should you do? When rates rise, the industry consolidates. The strong not only survive, they prosper in a big way. The strong of yesterday doesn’t mean they will be tomorrow’s leaders. Everyone has an opportunity to be the strong moving forward! Ensure that your skills are high to provide optimal value to clients. These cycles provide an opportunity to become truly significant – and the significant door isn’t as welcoming in a flat marketplace. If rates drop later this year, everyone in the industry can take advantage of that game.
Independent Insurance Agent / Broker
7 年This is an insane comment - "the current market expectation is that the Fed will be back at zero interest rates in 27 months." Really... we are going to cut rates to zero and tax our way to prosperity again? I don't believe this will happen again since there will be a flight of capital again to the higher interest rate issues and investors will demand safety and quality.
Sales Strategy/Leadership Consultant, and Community Volunteer
7 年John, Thank you for the insight.