Hello and Welcome to our May 2021 Financial Planning and Capital Market Update!
If you are too busy to read, feel free to listen as we describe our post and thoughts in friendly podcast audio format as well as Video!
We like to articulate our thoughts and review on a Monthly basis our Financial Planning Tips, Capital Markets and current events!
Hope you enjoy!
May 2021 Video
Financial Planning Tips
Preparing to Hit the Sky Again
In this Break In Moment Post, an executive of the company Fligence reached out with regards to our fun TSA Posts through the closure of the country.
Their neatly designed website can be a very handy item for determining your possible time needs and delays as well as neatly follow our country to reopening at full speed.
Capital Market Comments
Inflation or No Inflation
In doing writings, I try to approach each article with a clear mind and head, especially if the post is heavy ….
Many times I try to completely forget the article or post from maybe just a week before….
Good News…. the Month of May was a success in clearing my mind as I accidentally pounded everyone over the head with Inflation stuff…..
My apologies, but it coming at us from so many directions made it top of mind….
At the Berkshire Hathaway meeting post, starring Warren Buffett and Charlie Munger, Inflation was all the chatter and a huge concern for them.
Then Here in our Jolts – job opening Post we looked at how there are tons of jobs to be had –
Here in our Favorite Dallas Federal Reserve Chair post, Robert Kaplan – Sooner rather than later, worries inflation may be coming if we stay too low on interest rates…
Lastly in this verbal tug of war post between Jim Bianco and Lacy Hunt, they could not more disagree very emphatically.
Time will tell who is correct in their thinking!
Have a Great Day, Talk to You at the End of June!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Thoughts from Barry Habib, Housing and Mortgage expert, from this year‘s 2022 Mauldin SIC Investor Conference…
For those of you with a memory like an elephant, congratulations, you may recall that we have delightfully attended the Mauldin Strategic Investor Conference (SIC) virtually during lockdown for the past two years. As a side note, a conference that we had never attended before due to the duration and the timing … very near tax time!
Good news, once again this year the conference was virtual and we are happy to attend.
While there were 40+ speakers, more to come on others, we found the following expert and presentation very interesting, if not somewhat controversial.
Barry Habib, Mortgage and Residential Housing Expert
You may recognize Barry as he is a regular speaker on many of the financial channels among other and was a presenter at this year’s SIC conference.
Cutting to the chase, Barry expects a recession later this year or early 2023 and as such expects mortgage rates in particular to drop precipitously from their current 5 1/2% rate along with all rates of other asset types.
These expectations, (forecasts), are certainly more economic and financial market related, as such we will make note as predictions and check back sometimes next year.
Now, to Barry’s wheelhouse, what we are all interested in, the expectation of housing appreciation or depreciation!
Understanding that Barry comes from a residential and mortgage background, so let’s be transparent that there may be some innate biases, but his expectations are for mid to low single-digit housing appreciation for this year 2022.
This flies in the face of many forecasters due to the aforementioned slow down or R- word recession and more importantly the heightened interest rates of Mortgages currently.
In Barry’s defense, lack of supply and his expectations of a sharp reversal in mortgage rates will lend itself to this continued growth.
Heck if housing prices hold their values we would consider Barry’s prediction a win.
There will certainly be pockets of strength and weakness across the country…
We will be watching as it’s very easy to monitor and will let you know!
Barry …thanks very much for a fantastic presentation and for the information duly noted…
Have a Great “Housing Analysis and Forecast” Day!
John A. Kvale CFA, CFP
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Posted in Debt - Debt Management, Economy, Forecast, Interest Rates, Investing/Financial Planning, Market Comments
Tagged Barry Habib, Interest Rates, Mauldin, Mortgage Rates, Residential Housing, SIC Conference