This is true when analyzing financial market cycles, stocks, bonds, interest rates move up and down based on economic conditions. As I write this in March 2023 we are in the midst of the Federal Reserve raising the short term interest rates that they control in order to slow the economy and cool inflation. Looking back over the past 30 years, the Fed has raised interest rates five times....this being the fifth. In the four previous cycles, mortgage rates have peaked and then dropped significantly within 12-18 months of the first rate hike. This cycle may be 18-30 months in length as inflation is more of an issue this time around, but lower rates are on the way. First rate hike 3/17/2022.

With apologies to Old Wives, the water cooler experts at the office, or your cranky uncle Bill at Thanksgiving don't know what they are taking about when it comes to credit scores and mortgage loans. Three things to know: 1. A "hard" inquiry on your credit report has very little (if any) impact on your scores. 2. There are many different scoring models, the score you see from a credit card company or CreditKarma, is not the same as your mortgage score. Let your mortgage professional run your credit early in the homebuying cycle so that you know what your credit score is. 3. When you have your credit report and credit scores, let your mortgage pro give you action items to improve your scores. Small moves can make a big difference in your scores....and therefore your final monthly payment. You may have gotten a good night's rest at the Holiday Inn, but doing "self-surgery" on your own credit report leads to unnecessary pain. We really do know what we are doing!!