Tuesday, October 27, 2026

A Note From Tim Powers

🏡 Rates Finally Dip! 3 Ways to Turn Today's Market Into More Closings

Happy Tuesday, Partners!

Hope everyone had a fantastic weekend!

We finally have some encouraging news on mortgage rates! And with more inventory available in many markets, there are opportunities for agents who know how to position the numbers and get buyers excited again.

Remember, the market doesn't have to be perfect to make money in real estate. We just need to find the opportunities!

📉 MORTGAGE MARKET UPDATE — RATES MOVE LOWER!

According to Freddie Mac's October 22 report:

30-Year Fixed: 7.23% — Down from 7.40% last week.

15-Year Fixed: 6.68% — Down from 6.71% last week.

While rates remain elevated, this is a welcome change after several weeks of increases.

Inflation, bond yields, and economic uncertainty continue to influence mortgage rates, so we may see additional volatility.

These figures are national survey averages for well-qualified conventional borrowers with 20% down, not individual rate quotes. Actual rates and costs vary based on credit, loan program, down payment, points, and other factors.

My takeaway: Don't wait for the perfect rate. Let's focus on finding the right home and financing strategy that works for each buyer today!

🏠 ARIZONA & WASHINGTON — OPPORTUNITIES ARE GROWING!

Phoenix / Scottsdale

Greater Phoenix had approximately 25,251 active listings in September, up 4.4% from a year earlier, while the median sale price remained around $450,000.

More available homes and slower buyer activity are creating opportunities to negotiate.

Washington State

Northwest MLS reported active listings up 24.5% year over year in September, including increases of 31.1% in King County and 21.6% in Pierce County.

That's a significant improvement in choices for buyers who previously struggled to find the right property.

The opportunity? More choices, potentially less competition, and motivated sellers willing to consider creative offers.

💰 3 WAYS TO GENERATE MORE BUSINESS THIS WEEK

1️⃣ Turn Seller Concessions Into Buyer Opportunities

When you find a motivated seller, don't automatically focus on another price reduction.

Let's compare what seller-paid closing costs, a permanent rate buydown, or a temporary buydown could do for your buyer.

Depending on the loan and buyer's goals, the right financing structure may deliver more immediate value than a lower purchase price.

Send me a listing, and I'll help you run the numbers!

2️⃣ Revisit Buyers Who Couldn't Afford Their Dream Home

Have buyers who were just outside their comfort zone on monthly payments?

Now is a great time to reconnect.

Try saying:

"We're seeing more opportunities to negotiate, and mortgage rates recently improved. Would you like us to revisit the numbers and see whether we can make something work?"

A fresh financing review could uncover options they didn't have before.

3️⃣ Make Your Open Houses Work Harder!

Instead of simply collecting names and phone numbers, give visitors something valuable.

Offer a personalized financing review showing estimated monthly payments, down payment options, and potential seller-concession scenarios.

I'll gladly help you prepare financing comparisons for your listings or open houses.

Let's turn those conversations into qualified buyers!

⭐ YOUR BUYER IS ALREADY PREAPPROVED? GREAT! LET ME TAKE A SECOND LOOK!

Here's something I encourage every agent to remember:

A preapproval letter doesn't necessarily mean your buyer has explored the best financing options available.

With over 20 years of mortgage experience and access to 150+ lenders, I can compare different programs, rates, costs, and loan structures.

A second opinion may uncover:

✅ More competitive interest rates or closing costs.

✅ Lower monthly payments through alternative financing structures.

✅ Additional purchasing power.

✅ FHA, VA, conventional, jumbo, or alternative loan options.

✅ Potential underwriting concerns before they become closing delays.

Sometimes we find a better solution. Other times, I confirm your buyer already has an excellent option.

Either way, you gain confidence that your client has explored their choices.

I'm not looking to complicate your transaction. I'm here to help protect it, strengthen your client relationships, and help you close more homes.

🚀 LET'S FINISH OCTOBER STRONG!

Here's my challenge for this week:

Reach out to five buyers who stopped looking and reconnect with two clients who are already preapproved.

You may be surprised how many opportunities are sitting in your existing database!

And remember, if you have a buyer who's been declined, needs creative financing, or simply wants a second opinion, I'm always happy to help.

Send me one buyer scenario this week. Let's see what we can accomplish together!

Wishing everyone a fantastic and productive week.

Let's go sell some homes!

Tim Powers
Branch Manager | Mortgage Loan Originator
Powers Group Financial
Powered by Barrett Financial Group, LLC

📞 253-209-4247

20+ Years of Mortgage Experience
Access to 150+ Lenders

Tim Powers | NMLS #178079
Barrett Financial Group, LLC | NMLS #181106
Equal Housing Opportunity

Loan programs, terms, and pricing are subject to qualification, lender guidelines, and change. All loans subject to credit approval. Not a commitment to lend.

These are national mortgage index rates as of October 29, 2026. The 30-year fixed is at 7.15% — down 0.10% from last week, FHA at 7.04%, and VA at 6.79%. For exact rates tailored to your buyers, reach out to your loan officer directly.

Source: Optimal Blue daily mortgage indices via FRED

From Your Lending Partner

DSCR Loans Let Investors Buy on Cash Flow — Not Personal Income

Investor activity in this market remains strong, and the product fueling it is the DSCR loan — Debt Service Coverage Ratio. Unlike conventional investment property loans, DSCR doesn't look at the buyer's personal income at all. It qualifies based on the property's rent-to-mortgage ratio. If the home rents for $2,200 and the mortgage is $2,000, the DSCR is 1.1 — most lenders will approve at that level. This means a W-2 employee with a maxed-out debt ratio, a self-employed investor, or a foreign national can qualify based purely on the deal's cash flow numbers. There's no income documentation, no employment verification, no tax returns. Down payments are typically 20–25%, and rates run about 1–1.5% above conventional. I can close these in 21 days. If you're working with investors — or want to start — I can help you identify which of your listings would pencil as rentals and use that to attract qualified investor buyers. Let's talk.

I'll run DSCR numbers on any property in your portfolio — reach out today.

Mortgage News Daily

Building Permits Hold Steady Despite Slide in Housing Starts

Residential construction failed to find even footing in September, with housing starts declining and single-family building permits pulling back, while total permits held nearly steady and completions edged higher. This week's Census Bureau data highlights weakness in new construction, particularly on the single-family side, while starts and completions were comparatively stable. Privately owned h

HousingWire

Op-ed: CAR governance review sparks debate over member access and control

A town hall drew 1,000-plus attendees as members challenged the mandate and meeting restrictions

Mortgage News Daily

Builder Confidence Hits Lowest Level Since 2012

The National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) dropped three points to 29 in October--its lowest level in 14 years. As per usual, higher mortgage rates, rising costs, and worsening labor and lot conditions were the driving factors.  All three component indices declined, with prospective buyer traffic suffering the steepest drop. HMI Component September

Did You Know?

Non-Warrantable Condo Financing

Get buyers into condos that conventional lenders reject.

Many condo buildings fail Fannie/Freddie warrantability tests — too many investor units, pending litigation, or HOA issues. Portfolio and non-QM lenders have programs for these buildings that your buyers are being turned away from.

Share With Your Buyers

Saving for a Home

Tip of the Week

Test your sump pump before the rainy season by pouring water into the pit — a failed pump can lead to serious basement flooding.

Your Mortgage Advisor