Mortgage Magic

07/17/2026

Bonds finished the day about the same after some ups and downs in the market.

Oil prices moved higher during the day, which put some pressure on bonds. However, overall it was still a positive week, with bond yields ending slightly lower than last week.

Next week, markets will be watching oil prices, the stock market, and upcoming Federal Reserve news for more direction.

Staying informed helps us better understand where mortgage rates may be headed.

Today's Market Summary Report

07/17/2026

Good news for the housing market — new home construction bounced back in June after a slower May.

📈 Housing starts increased 19%, helped mostly by more apartment and multifamily construction. Single-family home building stayed about the same.

Builders are still being cautious about future projects, but the latest numbers show that construction activity is gaining some momentum.

A stronger housing supply can help create more opportunities for buyers in the future.

Residential construction rebounded in June as housing starts and completions recovered from May's unusually weak levels, though building permits continued to trend lower. The latest Census Bureau dat...

07/17/2026

The good news is that mortgage rates ended the day at their lowest levels of the week. That's welcome news after Monday's rates matched the highest seen since July 2025. Today's improvement came cou...

07/17/2026

Beth Ann Filippiopen

I highly recommend Paul Sanfilipo and Mortgage Magic for your home loan or refinance. Paul is calm, caring, personable and on top of every detail! He made our refinance go very smoothly. If I can say, Paul does things the old-fashioned way. He follows through and even hand carries necessary original documents to the excellent underwriter at Mortgage Magic, so she has everything she needs in a timely manner.
Paul’s years of experience and extensive network in the real estate business in San Mateo County, really help him get the job done for his customers. If you need a loan, Paul Sanfilipo at Mortgage Magic is the man to call.
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Beth Ann,

Thank you so much for taking the time to write such a thoughtful review. We truly appreciate your kind words.

You captured Paul perfectly. His calm, caring approach and attention to detail are exactly why clients have trusted him for so many years. With more than 50 years of experience, Paul has always believed in doing business the right way, taking care of his clients, following through on every commitment, and making sure nothing is overlooked. He has built an outstanding reputation throughout San Mateo County, and we are fortunate to have him as part of the Mortgage Magic team.

Your recognition of his dedication means a great deal to all of us. Thank you for placing your trust in Mortgage Magic, and congratulations again on your successful refinance!

And Paul, thank you for your more than 50 years of dedication, integrity, and caring service to your clients. We are proud and grateful to have you as part of the Mortgage Magic family.

Doug Jones
Broker Mortgage Magic

06/02/2026

Not the loan for everybody - but for those who it makes sense for; they love it !

05/26/2026

https://housingbrief.com/r/PU5G7D

Mortgage lenders rely on the bond market to generate mortgage rates . In addition to being fully closed on Monday for Memorial Day, bonds also close 3 hours earlier than normal on the preceding Frida...

05/18/2026

For years I have watched different versions of what is now being heavily advertised as:

“No payment home equity programs”

“No interest loans”

“Cash from your home without a reverse mortgage”

In reality, many of these programs are simply modern versions of what used to be called equity share agreements. And years ago, many of the homeowners I personally encountered who entered into these arrangements ended up very unhappy with the results.

Why These Programs Sound So Attractive
The marketing is powerful:

No monthly mortgage payments

No required income

No traditional interest payments

Not a reverse mortgage

For homeowners struggling with cash flow, especially retirees, that can sound almost ideal. The company gives the homeowner cash today in exchange for a share of the home's future value or appreciation later. On the surface, it sounds simple. But the real cost is often hidden in the future payoff.

The Problem Many Homeowners Did Not Fully Understand
With a traditional mortgage or reverse mortgage, the cost structure is relatively straightforward:

You borrow money

Interest accrues

The balance grows predictably

With equity share agreements, the company often participates in the home's appreciation. That means if the home increases substantially in value, the payoff can become surprisingly large. Years ago, I saw homeowners shocked when they learned how much equity they had effectively given away.

What initially felt like:

“No payments and no interest”

later became:

“I gave away far more equity than I expected.”

And in strong real estate markets, that difference can become enormous.

How Reverse Mortgages Differ
A reverse mortgage is still a loan.
It accrues interest over time and is heavily regulated.

But there are several important differences many consumers overlook:

Reverse mortgages are standardized
The rules, disclosures, counseling requirements, and protections are generally well established.

Borrowers keep future appreciation
If the home's value rises dramatically, the homeowner, not an investment company keeps the appreciation.

FHA protections exist on many programs
With federally insured HECM reverse mortgages, borrowers have protections including non-recourse features.

The costs are more transparent
Consumers can usually project future balances much more clearly than with equity-sharing contracts tied to appreciation percentages.

Why These Equity Programs Are Growing Again
These programs are returning aggressively because:

homeowners have large amounts of equity

mortgage rates are much higher today

cash-out refinancing is less attractive

retirees need income relief

“no payment” advertising is emotionally compelling

And perhaps most importantly:
many companies market themselves specifically as:

“NOT a reverse mortgage.”

That message is intentional.

The Real Question Homeowners Should Ask
The question should never simply be:

“Do I have a monthly payment?”

The better question is:

“How much future equity am I giving away?”

That is where the true comparison must be made.

Sometimes these programs may fit a homeowner’s situation.

But homeowners should fully understand:

how the final payoff is calculated

how appreciation sharing works

what happens after 10 years

whether refinancing later becomes difficult

how much equity may ultimately be surrendered

Final Thoughts
I am not against innovation in lending or equity access.

But I do believe consumers should be cautious anytime a financial product sounds almost “too easy.”

Many homeowners years ago entered equity share agreements believing they had found a painless solution only to later discover the long-term cost was much larger than expected.

In my experience, the happiest borrowers are usually the ones who fully understand both:

the short-term cash flow benefit

and the long-term equity consequences

before signing anything.

05/18/2026

04/29/2026

Your home and your legacy matter.

When your mortgage is set up properly, you and your heirs are protected—so your family isn’t left with uncertainty or stress down the road.

It’s not just about buying a home today… it’s about protecting it for tomorrow. 🏡