Even though 2023 started with a bang, Texas’ home sales still diminished by over 20% compared with last year’s numbers. But high-interest rates and rising mortgage rates are threatening the housing market in the Lonestar state, causing LOs to change their strategies.
The year began with a false start: the market seemed promising– inventory began to correct and homes spent more days on the market, causing anxious would-be buyers to come off the sidelines. Although home prices in the state are trickling downward overall, the unexpectedly cool industry is compelling LOs to revisit the fundamentals and devise innovative strategies to stir up business.
Aaron Canales is experiencing a market downturn for the first time in his short career as a mortgage loan officer. Canales, based out of Austin, decided to make a career shift and obtained his license in May 2022. He started originating at CrossCountry Mortgage but, two months later when the market shifted, he was promptly laid off with minimal contacts and practically zero business. “It was a tough time for me,” he said. “My wife and I just had our second child and I was unemployed. Although we had prepared for my career shift and saved up money, I was left on my own to build leads and get my name out there.”
Charting The Course
Canales has been weathering the storm on his own. Previously, Canales held a sales position at a tech firm and wasn’t used to a commission-based career. “As time has gone on, it’s been a blessing [to work on commission and be on my own] because in this industry it takes a while to start making headway in a commission position,” he reflected. “Bouncing around between companies after being laid off gave me time to make relationships with people.”
Now, Canales is originating at Geneva Financial and is finally completing his first loans nearly a year into the business. “I’m in my 40’s and I feel like a high school freshman,” Canales quipped. “Luckily now I’m at a company that coaches me. I have a lot of help, but I’ve also been able to pave my own way.”