After weeks of rumors, on Wednesday, September 16, 2024 the Federal Reserve cut rates by 50 basis points (0.50%) in an early attempt to revive a slightly cooling economy and slightly rising unemployment rates (by the standard U-3 rate, not the more inclusive U-6). While we haven't seen rates drop dramatically, they're forecasted to be cut again (maybe 2X) before the end of 2024.

All that said, there is no better time than right now for real estate agents to prepare for various market and rate scenarios that could impact their businesses. Another note, we're not economists, just fans of the economy and avid readers. We're sharing information, not financial or business advice. Talk to your financial or legal advisor if you have questions about the impact to your business. 

Here are five potential outcomes to keep on your radar, plus some suggestions on how to prepare:

Earlier this month, the Bureau of Labor Statistics (BLS) released their most recent Jobs Report. The report revealed that the economy lost 140,000 jobs in December. That’s a devastating number and dramatically impacts those households that lost a source of income. However, we need to give it some context. Greg Ip, Chief Economics Commentator at the Wall Street Journal (WSJ), explains: