Epic Real Estate Investing - Trump’s 2025 Housing Agenda: RECORD Foreclosures and a BIGGER Affordability Crisis? | 1388

Episode Date: November 19, 2024

In this episode, we dive deep into the potential upheavals facing the U.S. housing market by 2025, driven by a volatile mix of rising mortgage rates, economic uncertainty, and the possibility of Donald Trump returning to the presidency. Trump’s proposed housing policies, including deregulation and privatization, could spark a sharp increase in foreclosures, while exacerbating the affordability crisis already gripping millions of Americans. Yet, amid these challenges, there are also unique opportunities for savvy buyers and investors willing to take a closer look at shifting market dynamics. We’ll explore how soaring mortgage rates, while a burden for many, could also signal the emergence of a buyer’s market, creating new pathways to homeownership and profit. Additionally, we’ll discuss the potential benefits of foreclosed properties, the risks involved, and innovative financing options that may help navigate these turbulent waters. Whether you’re looking to buy, sell, or invest, this episode will equip you with strategies and insights to not only survive but potentially thrive in this changing market. Learn about tools like the Seller Sniper app and community resources designed to help you capitalize on real estate opportunities, while also protecting yourself from common pitfalls. Don’t miss out on the key trends and tips that could shape the future of real estate in 2025 and beyond. Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terio Media. Hey, strap in. It's time for the epic real estate investing show. We'll be your guides as we navigate the housing market, the landscape of creative financing strategies, and everything you need to swap that office chair for a beach chair. If you're looking for some one-on-one help, meet us at rei-aise.com. Let's go, let's go, let's go, let's go, let's go, let's go.

Let's go. What if I told you that the housing market in 2025 could face record-breaking foreclosures and an even deeper affordability crisis? Sounds shocking, right? Well, here's the deal. This isn't just speculation. It's the culmination of rising mortgage rates, policy shifts, and mounting economic pressure. Donald Trump's return to the presidency could shake the U.S. housing market to its core. With his aggressive deregulation plans, potential privatization of mortgage giants like Fannie Mae and Freddie Mac, and a policy. possible rollback of foreclosure protections, it's no wonder so many Americans are worried about what comes next. But here's the real question. What does this mean for you? I mean, whether you're a first-time home buyer, a seasoned investor, or just someone who's trying to navigate this chaotic

market, this is your roadmap. I've spent weeks combing through Trump's proposed policies and historical trends to cover the truth. Stick with me as we break down the risks and more importantly the opportunities in this housing market shakeup. Plus, I'll share my top tool at the end to help you capitalize on these changes. Let's dive in. First up, mortgage rates. They're creeping back towards 7%. And some experts warn they could climb even higher under Trump's presidency.

But why? Well, look at this correlation. As Trump's election odds improved, so did the yields on 10-year treasury bonds, a key indicator of mortgage rates. Historically, Trump has pressured the Federal Reserve to lower rates, but his fiscal policies, including tariffs and massive spending, could stoke inflation, forcing rates upward. Higher rates feel like a nightmare for buyers, larger monthly payments, fewer people qualifying for loans, and homeownership slipping further out of reach.

But what if I told you this could work to your advantage? Here's out. One, a buyer's market emerges. You see, when rates... rates rise, competition falls. According to the National Association of Realtors, homes stay on the market longer during high rate periods, giving buyers leverage to negotiate lower prices and better terms. Two, we can learn from history. You see, in the 1980s, mortgage rates hit an eye-watering 18%, but savvy investors capitalized on reduced competition and walked away with incredible deals. Those who bought

during that era saw massive appreciation when rates normalized. And three, think creatively. Adjustable rate mortgages, arms, they offer lower initial rates, making them an attractive option for buyers planning to refinance later. Arms can help you enter the market without overextending your budget. The key takeaway here is rising rates don't have to scare you. They can be a stepping stone to building long-term wealth. Next, the second thing, let's tackle the elephant in the room. Housing affordability. Did you know the average monthly cost to own a home is now $2,800. Double what it was in just 2016.

Families are spending up to 40% of their income on housing, leaving little room for savings or investments or groceries for that matter. It's no wonder many feel priced out. But here's the thing. Sitting on the sidelines could be a very costly mistake. You see, there are ways to navigate this crisis if you're willing to think outside the box. For example, house hacking. Turn your home into an income stream, whether it's renting out.

a spare room or buying a multifamily property, house hacking can offset mortgage costs. Platforms like Airbnb make this easier than ever. And if you don't like that one, I understand. Try number two. Explore secondary markets. See, major cities might feel unattainable, but emerging markets, think Boise, Idaho or Charlotte, North Carolina, offer affordability and growth potential. Investing in these areas could yield substantial returns as they develop. And three, creative financing. Consider alternatives like seller financing or subject tool agreements. Subscribe to the channel. That's what we do here.

These options, they can help bypass traditional lenders and secure deals in high-cost environments. Remember, affordability is a challenge, but it's not a roadblock. The right strategy can turn obstacles into opportunities. All right. Third thing, and this is where it gets a little intense. You see, under the Biden administration, foreclosure protections like forbearance and loan modifications kept thousands of homeowners afloat. But Trump's hands-off approach to the mortgage market could reverse these policies, leading to a surge in foreclosures. Data already shows that early-stage

delinquencies for 2024 loans are the highest since 2008. If protections are rolled back, it could trigger a wame of distressed properties hitting the market. But before you panic, consider this. Foreclosures can present massive opportunities for buyers and investors. The first way, discounted properties. Foreclosed homes typically sell for 28% below market value, according to Realty Track. For buyers, this means instant equity gains. Two, win-win scenarios. Pre-foreclosure sales allow buyers to negotiate directly with struggling homeowners,

offering them a way out while securing favorable deals. And in just a minute, I'll share with you my top tool that I use to find these types of properties. And three, long-term gains. You see, during the Great Recession, investors who scooped up foreclosures saw significant appreciation as the market recovered. History has shown us time and again, downturns are where wealth is built. Navigating the foreclosure market, it requires due diligence, but with the right approach, it's a golden opportunity to buy undervalued assets. Finally, let's talk about this.

Let's talk about deregulation, a cornerstone of Trump's agenda. One of the most polarizing proposals? Yeah, privatizing Fannie Mae and Freddie Mac, which back half of all U.S. mortgages. If this happens, borrowing standards could tighten, making it harder for some buyers to get approved. But here's the flip side. Private investors could introduce innovative lending products tailored to niche markets, opening new doors for creative financing. So what's the overall bottom line here? Yes, Trump's 2025 housing agenda comes with risks, rising weights, affordability challenges, potential foreclosures, but it also offers unprecedented opportunities for those who stay informed and act strategically. Whether it's leveraging higher rates to negotiate better deals,

finding creative ways to make housing affordable, or capitalizing on foreclosures, the key is adaptability. And don't forget this. Every market shift creates winners and losers. The question is, which one will you be? If you're ready to seize the opportunities ahead, check out my favorite tool, the Cellar Sniper app. It's your one-stop resource for finding off-market discounted real estate where sellers are open to creative financing strategies. I mean, who cares about interest rates, affordability, and Fannie Mae when you're armed with this app?

Take it for a free test spin at Cellarsniper.com. Or maybe you'd rather just get together with a group of aspiring real estate investors this month to position yourself for what could be the most profitable 24 months for real estate the country has ever seen. If you'd like to join us, I will set you up with operating capital, motivated seller leads, and support to help you put your deals together. Get the details at epicapprentice.com. Hurry, though, because I've got room for only five more. I'll see you next time. Take care. And that wraps up the epic show. If you found this episode valuable, who else do you know that might too? There's a really good chance you know someone else

who would. And when their name comes to mind, please share it with them and ask them to click the subscribe button when they get here and I'll take great care of them. God loves you and so do I. Health, peace, blessings, and success to you. I'm Matt Terrio. Living the dream. Yeah, yeah, we got the cash flow. You didn't know home world. We got the cash flow. This podcast is a part of the C-Suite Radio Network. For more top business podcasts, visit c-sweetradio.com.