Low interest rates are providing those with their real estate license an amazing opportunity to prosper as the real estate market continues to stabilize and begins to rebound. There are more ways that the nation’s low interest rates can help the business of a licensed real estate professional than you might think. It is important to your success as a real estate agent to know and understand the differing ways that you can use low interest rates to increase your business. One thing that is clear is that the low interest rates are bringing in huge numbers of buyers.
The obvious way the rates affect your business is with those clients that just cannot turn down the current interest rates as low as they are. Those people with good credit and high credit scores can be inspired to purchase by the amazingly low rates that they are being offered to them right now. If you paired the current interest rates with the low home prices for your undecided clients, you can present them with an irresistible opportunity.
Then there are those clients that may have been unable to qualify for the home that they wanted. Lower interest rates make it much easier to qualify by lowering the overall monthly payment of the proposed mortgage that your clients want to get approved for. Those clients that were unable to get into their homes because the debt to income was a little out of their reach can now be re-qualified at lower rates. The lower interest rate brings down the payment making it easier to qualify. For those clients who have been waiting until they could afford their dream home, that time may have come.
Low interest rates often translate to increased commissions. Lower interest rates mean that your clients will qualify for a home of an increased value. When you recalculate what your clients can afford at the interest rates currently available, you may find that they qualify for a more expensive home. As you are perfectly aware, the more the purchase price of the home the higher your percentage of commission will be. As you can see there are a number of ways in which low interest rates will increase your client base and your prospective commissions.
All of the focus on generating movement in the housing market is promising tremendous prosperity for those with an active real estate license. The lowest interest rates in decades can be a huge asset to your potential sales offering still one more way for the home buyer to make the most of their money. With federal tax incentives, the lowest home prices in years and some of the best interest rates ever offered for home loans the timing has never been better for people to dive into real estate. A real estate license is your ticket to cash in.
Understanding all ways that low interest rates can increase the commissions you can earn with your real estate license is essential in maximizing your business potential. If you are not currently licensed but would like to be, please check out our online real estate school here at ColibriRealEstate.com.
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