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This week’s Q&A column is written by Karisue Wyson, Director of Recruiting & Agent Support at McEnearney Associates Realtors®, the leading real estate firm in Alexandria. To learn more about this article, contact Karisue at 703-615-0876 or email [email protected]. You may also submit your questions to McEnearney Associates via email for response in future columns.

Question: What Can Ted Lasso Teach Us About Real Estate?

Question: What’s the current status of the mortgage industry?

Answer: The pandemic has had a significant impact on the residential mortgage industry. At the beginning of the public health crisis, investors in mortgage-backed securities stopped purchasing the instruments, which caused a liquidity shortage and a spike in the rates available to consumers. The Federal Reserve quickly stepped in and began purchasing Fannie Mae and Freddie Mac issuances, stabilizing the market and easing rates. Underwriting standards involving employment, income, liquid reserves and credit scores were tightened by Fannie, Freddie and jumbo loan providers. Some lenders in the jumbo space chose to stop making those types of loans until the economic impact of the pandemic was understood.

Answer: Well, the short answer is, probably yes! And the long answer is also yes, but here’s why — and how you can get that home. It’s definitely worth understanding the “whys” of pricing strategy if you plan to buy or sell a home in 2021.

As a buyer, you are probably wondering, “Why don’t sellers just advertise the price they want?”