How to Buy a Home in 2026 w/ MG The Mortgage Guy

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3:28That's square.com backslash go backslash EYL. Don't wait. Don't hesitate. Let Square handle the back end so you can keep pushing your vision forward. Matt. What's good? What's good? What's good, fellas? What's up, my boy? My brother, how you doing, man? We are blessed. Thank God for another day. What's poppin'? We would love to highly favor, my brother. Don't be mad at me, man. I meant to text you that that tsm thing man it just yeah i'm looking in the group text right now and i'm seeing that return group text drives here all right yo i just saw that it was the wi-fi damn that shit is crazy bro but i have called you i have called you so shout out to troy um i'm on my troy ish for 2026 stay low keep firing um you might not see me aftermarket mondays tonight live or anything for the rest of the year.

4:17I ain't mad at you. While I do a deep dive and get things right on my end. So shout out to Troy. I'm taking the page out of his book for 2026 and maybe for the near future. I might post once every other week and it might just be some fly pictures of me and my family. You still gotta post. You never know. But just the personal time, keep to yourself, my brother. I'm just gonna keep everything to myself. I ain't mad at you. Stay low. fire that's a fact my guy welcome back to the show look seven straight summers critics might not admit it but nobody in financial literacy did it quite like we did it we did it like seven straight summers there's nothing no one can tell me i don't want to hear no foolishness in 2026 from nobody thank you it's seven straight summers get your numbers up that's a fact that's a fact so matt garland licensed real estate professional loan officer um friend of the show has been on every platform that we've ever had invest fast earning a leisure market mondays i don't think you've been on blackout that's probably the only thing yeah yeah and we're gonna keep it away i got some issue to talk about for blackout that may be the only other time you see me on the internet this year let's set it up so let's talk about real estate we haven't talked about real estate in a while okay so we talk about stocks all the time is it a good time to buy stocks is a bad time to buy stocks so 2026 we here right now um will home prices drop in 2026 Hmm.

5:59Good question. In my professional opinion, no, there's not enough supply out there or inventory out there for home prices to really crash like the Internet is telling you. look a crash is unlikely right so 2026 i believe is going to be a flat year um existing home sales right now are still at a three low territory the national uh medium home price in 2025 is still up year over year 1.7 percent year year over year it's slow growth but if you look at the historic growth of home appreciation, if you look back like 65 years, homes generally appreciate around 3 % on average, right? What we saw during the pandemic was unicorn years when homes were appreciating 20 plus percent.

7:00But nationally, where we have 1.7 on average is still appreciation and it's compounded. Everybody type in chat, compounded. That's the beautiful thing about investing, right? Everything compounds. So appreciation, whether it's slow growth, whether it's flat, whether it's skyrocketing, you still got to account for the other years prior to it, right? And the people who are in the market, meaning they own real estate, those are the ones who are going to win. And the people who are going to sit on the sidelines and try to double dutch their way into, you know, you know, double dutch, right? Everybody from the hood, when you kind of like, you know what I'm saying?

7:40One foot in, one foot out, you double dutching it, right? You folks are going to be the ones who are going to lose out on this appreciation and lose out on this potential to change your net worth. So I would humbly say, I don't think home prices are going to drop. I don't think there's going to be a crash. I'm kind of like a broken record when it comes to this subject. And I still have been doing it wrong. I've been saying this for five years Six years These are facts, MG, when we talk about investing We always talk about callous events There's a couple things that are coming up this year We're getting a new Fed chair I know you were excited about this$200 billion mortgage bonds Thing that Trump is talking about All that's going to affect interest rates We're down here, what is it, today's the 19th At 6 % How do you see interest rates heading into the rest of 2026?

8:32Man, I love I love anytime I hear the government talking about buying bonds or buying treasuries, which not for nothing since December of 2025, what a lot of people don't even realize is that the feds have already started buying treasuries again. They quit quantitative tightening back in December and they're not calling it QE anymore with the easing. It's like I like to call it QE light what they're doing right now because you remember during pandemic, they were buying trillions of dollars, billions of dollars worth of bonds. And that's why we saw this significant drop in interest rates the way we did.

9:14But the Fed is already buying treasuries right now since December. And when Trump came out and said that he wants Fannie Mae to buy 200 billion dollars worth of bonds, that hasn't happened yet. But if you add that on top of what the Fed is already doing, I think 2026 is going to be a great year for interest rates. You know, rates hit a three and a half year low recently. They're right around 6 % right now. But you can definitely get, if you're looking at a 30-year mortgage for a primary residence, you can definitely get in the high fives, mid fives, just depending on the product, the program, and your credit score.

9:53So rates are definitely lower than what they were a year ago. And if you look at refinance applications, refinance applications up like 120 percent. December home sales, you know, one of the best numbers of 2025 was in December for the amount of homes that sold. So with rates coming down and Trump keep talking about the housing market, man, I love it. Anytime he's talking about the housing market, man, I get a rush because I already know it's just a matter of time before the floodgates open and there's going to be a lot of buyers that are going to hit the market once they start seeing rates in that mid low fives on a regular basis.

10:37and that's just going to bring a lot more competition out there. So I think rates by this time next year, by 2027, we might be in the high fours, low fives. Really? What a beautiful thing. Okay. How much do you think appreciation will happen in houses? And then for anyone who's new tonight, and maybe they haven't heard you speak, there's now a perfect time to buy, and can you talk to them about how important it is to not miss out on this opportunity because the prices of homes have gone up so much in the last five or six years? So that's a good question. I think there's always an opportunity cost for anything that you do, right?

11:16A good friend of ours hit me up tonight, was telling me he just got an offer on a house that he's not even trying to sell for a million dollars more than what he paid for two years ago, right? That's funny. I told him to call you. Shout out to the good friend, right? He called you too? Yo, this tripling of the opinion. So a good friend is making his rounds and calling the experts. You know what I'm saying? But, like, and guys, I'm glad. And this, I didn't know he called y 'all, right? But that's just what's happening. He has time in the market and people are out there wanting to buy. We're not talking about, you know, a small house.

11:56We're talking about, you know, a multimillion dollar home. So if folks are new to me, please understand there's no better time to buy real estate than when you can afford to buy it. Right. I don't care what the market is doing. You got to look at your individual goals. Right. Look at your credit. Look at your assets. Look at your income, your job security. If you're self-employed, look at your business. Look at your net. If you're self-employed to see if you can really afford it, because homes are not just your mortgage payment. You have expenses that come with maintaining that house and especially the way taxes and insurance are increasing rapidly across America.

12:37It's not about what that payment is for your first year. You got to be looking at five years down the road. So if you can afford real estate, then I believe absolutely you should go ahead and buy, but buy smart, right? Stop buying at market prices. Stop buying at these retail prices. You can look on Zillow and MLS and work with realtors, but you got to learn the art of negotiation. Right now, the ball is in your court as a buyer, but that is going to be short lived if these rates go down. Because as these rates go down, it's going to bring more buyers into the market, which is going to create bidding wars.

13:13And I don't want to hear nobody in the comments talking about, oh, he's crazy. There ain't going to be no bidding wars. You ask some realtors in some of these markets today, they still have bidding wars happening and they haven't dropped down over the past couple of years now. every market is different. Every market is local, but I definitely think people should definitely buy if you can afford to buy. Real estate is vastly become a luxury item. The average home, first time home buyer is in their 40s for the first time ever. Less and less people are buying home, can afford to buy a home. So, okay, for the people that's okay, I understand real estate's an investment, but how can you buy a home?

14:00How can the average person buy a home in today's economy? What are some programs? What are some tips? What are some hacks? What are some advice that you would give somebody that just feels defeated in the marketplace? place? Good question. If you feel defeated and you don't know if you can afford to buy the home, because let's face it, affordability is definitely an issue in most cases. But I'm going to be real with you guys. I've been doing this for 23 years. 2026 makes 23 years I've been in the mortgage business. I'm not just a content creator. I am a licensed professional. Allow me to reintroduce myself matt garland and mls number 58700 better known as mg the mortgage guy i've been doing this for a long time this is my jordan year and since i've been in this game people couldn't afford a house there's always been an affordability issue just depending on where you live and where your income is i think where people got to focus if you can't afford to buy a house right now that's okay hey, learn how to trade and watch Market Mondays.

15:10Big facts. And learn how to create another source of income. Like you guys were talking about all these great stocks earlier, right? Let's talk MU, right? Because Troy hit me a couple weeks ago about MU. And I'm going to just be very transparent with everybody here tonight. We have how many people? Almost 5 ,500 people watching us live right now. When I looked at the contract price, I kind of took a step back. I said, holy smokes, this thing is expensive. And I think it was at like$260 at that moment, Troy. And I texted her, I said, yo, bro, I got a lot going on. I don't know if I want to buy a couple contracts of this right now.

15:47But what I said to myself, I said, you know what, Matt? Scare money don't make money. Let me at least put it in the stock. Let me not buy some contracts because this is a long-term play. So I'll start feeding my long-term portfolio. And I'll put a couple dollars into it. So that way I can have time in the market, even though I didn't go for the options. I went for the stock and fed my long-term portfolio. That one stock right now is up 29 % since I purchased it. And I have some gains right now. So if you're someone who cannot afford a home and maybe you have 10 ,000, you have 15, you have 20 ,000, you have shows like Market Monday out here that's teaching you every single week for free.

16:31For free. And giving you plays and things that you can now go ahead and research and now you can make extra money. Right. So that's for that crowd, for the folks who don't have the money, who may have limited savings. You have to learn how to invest and pick up this skill set, because even for myself, y 'all, and I'm being very transparent with y 'all. when I saw that I said you know what Troy this is my year when I'm going to learn this game like I'm no real estate and by this time next year I'm going to beat the S &P by a landslide I even told y 'all when I came on this backstage like this is my year to beat the S &P by a landslide because I am a believer in this and I'm a believer in y 'all teaching right so that's number one Rashad learn how to learn a skill set to make more money now if you are someone who can buy a house, but you feel like it's still not affordable.

17:26And you might not want to be the person who wants to house hack your way to wealth and do the 4-3-2-1 strategy or buy multifamilies and things like that. Well, the zoning laws are changing nationwide, where many cities and states are now allowing not just for one ADU, an ADU for those who don't know is an accessory dwelling unit, is basically like a tiny home in your house, on your house, on your property, right? So many of us live in these states where even New York just approved where you can have an ADU in your backyard or convert your basement into an ADU, right? Because they understand affordability is an issue.

18:09These states have these options to where you can have ADUs, but Fannie Mae just came out a couple of weeks ago and now they have expanded their ADU rules, which allows you now, and they will give you the money for rehab as well, where you can now have a single family unit and put up to two ADUs on that property. Right. And Fannie Mae will allow you to use one of the ADUs rent, at least 30 % of that rent to allow you to qualify for the mortgage as well. So if you're buying a primary residence and you have the capability and the town allows you to have an ADU, whether it's a detached garage, attached garage, a basement, you can build it on your property.

19:00This is a great way for someone who probably can't afford to live on their own or afford that mortgage 100 % to now supplement their income on a single family. And if you are someone who lives in an area where there's a lot of duplexes, Fannie Mae allows you to now put up to two ADUs on that duplex as well, as long as you don't exceed four tonal units on the property. So what we're starting to see on the mortgage side, mortgage guidelines are now starting to catch up with the times because they realize Fannie Mae, Freddie Mac, FHFA, they realize that the times are changing and we have to make things happen for the consumer in today's 2020.

19:46What if mind control is real? If you could control the behavior of anybody around you, what kind of life would you have? Can you hypnotically persuade someone to buy a car? When you look at your car, you're going to become overwhelmed with such good feelings. Can you hypnotize someone into sleeping with you? I gave her some suggestions to be sexually aroused. Can you get someone to join your cult? NLP was used on me to access my subconscious. NLP, aka Neuro Linguistic Programming, is a blend of hypnosis, linguistics, and psychology. Fans say it's like finally getting a user manual for your brain.

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21:47Here, we slow down. We listen. we learn how vulnerability becomes strength and how healing happens in community, not in isolation. If you're ready to let go of what no longer serves you and step into the year with clarity, compassion, and purpose, Sacred Lessons is your companion on your healing journey. Listen to Sacred Lessons with Mike De La Rocha on America's number one podcast network, iHeart. Follow Sacred Lessons with Mike De La Rocha and start listening on the free iHeart radio app today. New year, new goals, and in this economy, a better money plan is more necessary than ever. I am Matt.

22:27And I'm Joel. We are from the How to Money podcast, and every week we help you to spend smarter, save more, and make sense of what's going on out there. If you want 2026 to be the year you finally feel in control of your money, we're here to give you the tools and advice to help you make it happen. Listen to How to Money on the iHeartRadio app, Apple Podcasts, or wherever you get your podcasts. six markets. So to me, I think this is a home run and you can get a hundred percent of your rehab costs. This is a game changer right here. Well, let me, let me just follow up if I can, cause I'll, what do you think about from a standpoint of, of a group buying as far as like you, you, you, you deal with people that get mortgages, right?

23:08So I'm interested to see your perspective as far as I'm assuming a lot of your clients are, are black because I never forget in our neighborhood, it was a house, a Mexican family moved in years ago. And it was a joke at first because it was like eight cars in the driveway. But then every year the house got bigger and then eventually there wasn't as many cars. So other communities buy real estate in tandem. And then they live in it together. And then they might refinance or get on their feet. I don't really see too many people in our community do that. So is that something that I think needs to at least be thought about?

23:56And another thing that needs to be thought about as well is the encouragement of marriage. If you really think about it, marriage is something, a lot of people think, like if you don't have money, you can't afford to be married. It's actually the exact opposite. If you're on a lower economic spectrum, that's like one of the first things you should do, because that's actually going to help your situation from an economic standpoint is two incomes as opposed to one. The less money you have, that should be the more reason why you're actually getting married. Facts. But you see this. So what do you think just from that social construct?

24:35Man, I think it's, look, if we look at Hispanic brothers and sisters, they've been doing this for decades. This is nothing new, right? This is something that's been happening all over New York where we're from. I love it personally. It gives you the opportunity to group economics, right? It's just another form of it. Now, obviously, you got to have your paperwork together. You have your agreements, have an attorney write something up and make sure that you're protecting your interests as well. But we're starting to see more co-buying that's happening, especially if you can get a duplex. You have basically two families and two households are putting their money together, and now they're in a duplex and each has one side right um so i love it rashad i think it's something that we're going to continue to see a trend i'm starting to see a lot more marketing uh around that like where we starting to have more like family compounds and i'm starting to see more listings being sold like that shout out to boosie too i know boosie has a family compound he brought a couple of acres and now he's building like a whole neighborhood just for him and his kids and his family but even if you see just regular houses I've seen a lot on TikTok just in Florida like multi-generational living right like that's just becoming a thing because it's just more affordable for everyone to live under the same roof because look you said earlier Rashad that housing is a luxury I think the opposite it's a necessity because if you don't have a home or if you don't rent somewhere where you gonna be homeless right so it's like having a Home is a luxury.

26:24Correct, correct, correct. Being a homeowner. It's definitely a luxury, but I think it's also a necessity in my opinion, right? Because I'm just an advocate of ownership, just me personally. And I encourage people to buy, buy smart. and if co-ownership, multi-generational living situations works for you and yours, then I am 100 % with it as long as you got your paperwork together. Because paperwork... Indians do that a lot also. The Indians do it a lot in Queens too. And like you said, it'd be like a whole three, four families living in a one single family, four, five bedroom house and they chop the whole house up.

27:12and they stack their money, then they help the other person get the other house and then it just continues to cycle. You look up five years, everybody is a homeowner. I just think in our community, we have too much ego and too much pride and we need to leave that back in 2025 and be smart about buying real estate. MG, something happened last week. I would love to get your opinion on. We saw the administration put a ban on large institutional investors from buying single family homes. I want to know your thoughts, good, bad, and different. What does that mean for pricing? What does it mean for inventory?

27:49Just your thoughts around it. They talking about it, but nothing has happened yet. I think if you really look at institutional investors, and when I'm saying institutional investors, I'm saying folks who own a thousand plus units, that's only 1 % of the buyer pool. Right. I think everybody let's call a spade a spade. Right. And folks probably like what I'm about to say right now. But like if you look at institutional investor, it's a small piece of the overall pie of what's being purchased right now in certain states like Atlanta and Sunbelt states like like like Arizona, things like that. You might have a higher population, certain parts of Florida, a higher population of institutional investors buying up real estate.

28:40But if you look at the grand scheme of things, there are more mom and pop investors buying investment properties than there are institutional investors. And for me, I'm curious to see how they will regulate that or what's going to be the government's definition of institutional investors. Me personally I think these institutional investors Are smart And they're going to find a loophole And they're still going to buy So I don't think it's going to stop anything It might slow down Until they figure out all the mechanics Of how to get around it But I don't think it's going to stop anything I think it's good for the press And I think it's good for Trying to get votes Short term short term, I think it's good market manipulation too at the same time.

29:31I mean, I think we got to pay attention to that because who are these institutional investors? They're the ones who put in, they're the biggest donors too at the same time. So you think, guys, let's be real here. Do you think the money is going to let anybody stop them from getting money? Like that's going to hurt folks politically when it comes to raising funds, right? These are the masters of the universe for crying out loud. So like you got to really look at what's really happening. And I don't think it's really going to do much. I think if anything, once you start having that level of government intervention, there's nothing stopping them from trying to stop the everyday mom and pop like us from buying homes.

30:13What if they come back and say, well, if you buy over 50 units, you are now institutional investor. Now we're all screwed because everybody wants this. Well, I'm not going to say everybody, but most people, as you start growing and growing, you want to continue to grow and grow and scale. Why not? Right. So me personally, I want to see how that plays out. But right now it's just a rant on social media. Listen, I never heard you talk about this compound and generational multifamily house playwright. How do you structure? Let's say I want to buy a compound for me, Xander, my mom, dad, cousins. in terms of finance and how do you structure that?

30:56Good question. Good question. So first, first things first, you will have to get a, first of all, you have to find the land that can fulfill that. Right. And let's just say if you're going under 10 acres, under 10 acres is easier to get funding. If you want good financing, like good construction loans, you know, a paper type of rates and stuff like that under 10 acres is doable. Um, you have to get a construction loan to do something like that. You probably wouldn't be able to get a construction, a permanent loan, but you'll have to get a construction loan, which is typically like 12 to 18 months.