Mortgage rates have soared this week, hitting an average of 7.23%, the highest level for 22 years. Even a year ago, your clients could lock in a 30-year fixed for 5.5%. And things aren’t going to get any better soon — rates are going to stay high or even climb further, according to Sam Khater, Freddie Mac’s chief economist.
In what may be a glimmer of a silver lining, there is some good news for home buyers. Tech real-estate marketplace Zillow Group Inc. has announced a 1% down payment scheme in an attempt to woo potential homebuyers navigating one of the toughest real estate climates in nearly 40 years.
Analysts at Bloomberg Intelligence suggest that while Zillow's aggressive 1% strategy could potentially increase its market share and offer a competitive edge against industry giants, it may come at a considerable financial strain. Covering the 2% down payment (to reach the advertised 1%) could have long-term financial implications.
Initially, the mortgage program will be launched in Arizona, with plans to roll it out to more regions soon. This comes after Zillow decided to discontinue its ambitious venture into the home-flipping business in 2021 as a result of significant financial setbacks.
Zillow’s latest Consumer Housing Trends report released earlier this week shows that millennials are currently form the largest proportion of homebuyers at 37%, followed by Gen X at 23%.
The largest proportion of homebuyers (currently) live in the South (41%), then the Midwest (23%).
How much deposit are homebuyers putting down?
| 2021 | 2022 | 2023 | |
| <3% | 10 | 12 | 8 |
| 3%-5% | 12 | 16 | 14 |
| 6%-9% | 14 | 9 | 8 |
| 10%-19% | 25 | 21 | 18 |
| 20% | 21 | 20 | 23 |
| 21%-99% | 18 | 21 | 29 |
Data: zillow.com
Modern Wealth's latest deal for a California-based fee-only RIA marks its fourth acquisition of 2025.
Sen. Warren has warned of private market investment risks due to opacity, illiquidity, and past regulatory issues.
Use of the technology is growing and asset managers see transformative benefits.
Research reveals expectation could be replaced by disappointment.
"Im glad to see that from a regulatory perspective, we're going to get the ability to show we're responsible [...] we'll have a little bit more freedom to innovate," Farther co-founder Brad Genser told InvestmentNews in light of relaxed AI regulations from the SEC.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
