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Jan 17: Markets Closed, But Your Opportunities Aren't (MLK Day Prep Inside)

The Long Weekend Play: Why Smart Investors Are Moving While Others Are Resting

Author

Alex Veytsman
January 17, 2026

☕ The Lending Letter 🏡

Saturday, Jan 17th: The Long Weekend Advantage—Your Strategic Playbook

Happy Saturday! 🎉 Welcome to a rare three-day weekend vibe—MLK Day is Monday, which means markets are closed, most people are checked out, and you've got a golden 4-day window to plan moves while your competition is sleeping in. ☕

If you're reading this in your pajamas with coffee in hand, you're already ahead of 90% of people. Let's talk about what's happening with rates, what this long weekend means for your strategy, and why January 2026 might be sneakily one of the best times to make moves. 🎯

📊 TODAY'S 30-YEAR FIXED RATE
6.07%
Unchanged from Friday | According to Mortgage News Daily | Markets Closed Saturday

🏖️ The MLK Weekend Phenomenon: Why This Matters

Here's something most people miss: long weekends create opportunity gaps. While everyone else is enjoying an extended break (totally valid!), smart operators are using this time to strategize, research, and position themselves for Tuesday's return to action. 🧠

Rates holding at 6.07% isn't sexy news, but it's stable news. And stable is actually good right now. We're not seeing the wild swings of late 2025, which means predictability is back on the menu. For buyers and investors, this creates a much clearer planning horizon. 📊

📈 What's Different About January 2026?

January is traditionally the "warm-up" month in real estate—inventory starts building, sellers list with fresh optimism, but serious buyer competition hasn't fully kicked in yet. According to Realtor.com's seasonal patterns, you often find the best negotiating leverage in January and February before the spring rush hits. 🎯

Translation? Right now, you've got motivated sellers who want to get deals done early in the year, but you don't have twelve other buyers competing on the same property yet. That's called a timing advantage, friends. ⏰

💰 Lender Promos: Your January Jumpstart

🏠 Looking for a Loan on Any Property? Whether you're buying your first home or your fifth rental, January lenders are hungry. Fill out this quick form and we'll connect you with lenders who are actually motivated to earn your business this quarter.

🏢 Investment Property on Your Radar? New year, new portfolio goals. Smart investors are positioning now before rates potentially shift. Connect with investment specialists here who understand cash flow and ROI like it's their native language.

🏖️ Short-Term Rental Empire Building? 2026 STR game plan starts now. Peak booking season is just months away. Talk to STR financing specialists here who know exactly how to structure deals that actually make money. 💰

🧠 Educational Corner: The 1% Rule (And Why It's Not Gospel)

Let's talk about one of the most misunderstood "rules" in real estate investing: The 1% Rule. You've probably heard it: your monthly rent should equal at least 1% of the property's purchase price. So a $300,000 property should rent for $3,000/month. Simple, right? 🏘️

Here's the problem: it's outdated advice that doesn't account for current market realities. Let's break down why you shouldn't blindly follow it—and what to focus on instead.

📊 The Math That Actually Matters

Why the 1% Rule Falls Short: In high-appreciation markets like coastal cities, you might only hit 0.5-0.7% but still build massive wealth through equity. According to BiggerPockets analysis, the 1% rule was designed for Midwestern markets in different economic conditions. It's a screening tool, not a gospel. 📈

What to Focus On Instead: Cash-on-Cash Return
This metric actually tells you how your invested capital is performing. Formula: (Annual pre-tax cash flow ÷ Total cash invested) × 100. A good CoC return is 8-12% depending on the market. This shows you real returns, not arbitrary percentages. 💰

The Appreciation Factor: A property that "only" hits 0.7% but appreciates 5-7% annually in a strong market? That often crushes a 1.2% property in a flat market. Long-term appreciation compounds your wealth in ways monthly cash flow alone can't match. 🏡

The Modern Investor's Approach:

  • Calculate total return: cash flow + appreciation + loan paydown + tax benefits
  • Consider your strategy: Are you building long-term wealth or need immediate cash flow?
  • Factor in market conditions: 6.07% rates change your math vs. 3% rates
  • Use the 1% rule as a screening tool, not a deal-killer

Bottom Line: A property hitting 0.8% in a high-growth market with strong fundamentals can be a better investment than a 1.2% property in a declining area. Focus on total return, not outdated rules of thumb. And if you need help running these numbers? Our investment property specialists live and breathe this stuff. 🎯

🏘️ For STR Operators: The Q1 Preparation Playbook

Listen up, short-term rental operators—Q1 is your set-up quarter for a killer year. While your properties might be seeing softer bookings (depending on your market), this is actually prime time for optimization and growth. Here's why: 🚀

1. Acquisition Season is NOW
Sellers listing in January are often more motivated than spring sellers. Less competition, more negotiating room, better deals. If you're looking to add to your portfolio, our STR loan specialists can help you structure deals that maximize cash flow from day one. Even in Q1. 🏡

2. Tax Optimization Window
Cost segregation studies aren't just year-end moves. If you're planning acquisitions in 2026, getting an estimate now from our cost seg partner lets you factor massive tax savings into your acquisition strategy. We're talking five to six figures in accelerated depreciation. That's not small change. 💰

3. The Furnishing Game Plan
Q1 is when you should be upgrading properties—before peak season hits. Got a property that needs a refresh? Our partner offers 0% interest funding for furnishings and renovations. Upgrade now, capture higher rates when summer hits. It's strategy, not spending. 🛋️

4. Data-Driven Decision Making
According to AirDNA's market data, STRs that optimize in Q1 outperform comparable properties by 15-20% during peak season. That's pure profit you're leaving on the table if you wait until April to start thinking about improvements. 📊

Action Item for MLK Weekend: Use these three days to:

  • Analyze your 2025 STR performance—what worked, what didn't
  • Research new markets (prices are still reasonable, for now)
  • Get pre-approved for your next acquisition
  • Book that cost seg consultation
  • Plan property upgrades before spring rush

🎓 Personal Finance Hack: The "Debt Avalanche" with a Twist

💳 The High-Interest Debt Elimination Strategy You're Not Using

Everyone knows about the debt snowball (pay smallest debts first) vs. debt avalanche (pay highest interest first). But here's a hybrid strategy that's mathematically superior and psychologically sustainable: The Targeted Avalanche. 🎯

The Standard Avalanche Problem: You're supposed to throw all extra money at your highest-interest debt (usually credit cards at 20-25%), but it might take years to see real progress. That's demoralizing and why people quit. 😮‍💨

The Twist: Balance Transfers + Avalanche

Here's what most people miss: if you have good credit (680+), you can often get 0% APR balance transfer cards for 15-21 months. According to NerdWallet's current offers, several cards are offering 0% for 18+ months with 3-5% transfer fees. 💳

The Strategy:

  • Step 1: Transfer high-interest debt to 0% cards (yes, pay the 3-5% fee—it's worth it)
  • Step 2: Take what you were paying in interest and redirect it to principal
  • Step 3: Set up autopay to kill the balance before promo ends
  • Step 4: Use freed-up cash flow for investing or down payments

The Real Numbers: Let's say you have $20,000 in credit card debt at 22% APR. Your minimum payment is probably $400/month, but $367 goes to interest. 🤯

Transfer that to a 0% card (pay $600-1,000 in fees), and suddenly your entire $400 payment goes to principal. You'll be debt-free in 50 months instead of... never. Because at minimum payments and 22% interest, you'd pay $51,000 over 20+ years. Math is wild. 📊

Advanced Move: Once you've transferred high-interest debt, take those interest payments you're saving and start investing them. Even $200/month at 8% annual returns becomes $72,000 in 15 years. You're literally converting toxic debt into wealth-building capital. 💰

The Catch: This requires discipline. Don't rack up new debt on the cards you just paid off. Seriously. This strategy only works if you stop the bleeding while healing the wound. 🩹

Why This Beats Traditional Avalanche: You get the mathematical efficiency of attacking high-interest debt PLUS the psychological win of seeing balances drop fast. And you free up monthly cash flow that you can redirect to building wealth—whether that's saving for a down payment or investing in that rental property you've been eyeing. 🏡

📊 Market Intel: What's Actually Happening in January 2026

Let's cut through the noise with actual data about where we are right now: 📈

Rates Are Stable (Finally)
After the volatility of late 2025, we're seeing rates hold in the low-to-mid 6% range. 6.07% isn't thrilling, but it's predictable. And in finance, predictability has value. You can actually plan around these numbers. ⚖️

Inventory Is Building
According to Realtor.com's latest numbers, active listings are up about 8-12% year-over-year in most markets. Not a flood, but movement in the right direction. More options = more leverage for buyers and investors. 🏘️

The "Rate Lock" is Thawing
Remember the rate lock-in effect? People with 3% mortgages refusing to sell? That's slowly breaking. Life events (job changes, growing families, downsizing) eventually force movement. Existing home sales are ticking up, which means opportunity. 🔓

First-Time Buyers Are Getting Creative
According to Fannie Mae research, more buyers are using down payment assistance, family loans, and seller credits to make deals work. The game hasn't stopped—it's just evolved. And those who adapt are winning. 🎮

🔮 What to Watch This Week (After MLK Day)

When markets reopen Tuesday, keep an eye on: Fed comments on rate policy, housing starts data (due later this week), and any inflation reports. These drive mortgage rate movements more than anything else. Economic calendar will be your friend. 📅

🎯 The Long Weekend Action Plan

Okay, let's get practical. You've got three days where most people are checked out. Here's how to use them strategically: 📝

Saturday (Today): Research and planning. Browse listings, run numbers on potential deals, identify markets that interest you. Zillow's research tools and Redfin's data center are your best friends today. Zero pressure, pure information gathering. 🔍

Sunday: Financial deep dive. Review your current mortgage, check your credit score, calculate how much you could actually afford or leverage. Get your free credit report and make sure there are no surprises lurking. Knowledge is power. 💪

Monday: Reach out to professionals while it's quiet. Real estate agents, lenders, and property managers are less swamped on holidays. Send emails, schedule calls for Tuesday, get the ball rolling. When everyone else returns to work frantically on Tuesday, you're already three steps ahead. 🏃

🎯 Your MLK Weekend Quick Links:

Ready to turn research into action?

🌟 The Bottom Line

While most people are using this long weekend for relaxation (and that's totally fine!), strategic thinkers are using it for positioning. Not frantic activity—just smart, thoughtful preparation. 🧠

Rates at 6.07% aren't going to make headlines, but they're workable. January inventory is building. Competition is lighter. Tax season is here which means some sellers are motivated. And you've got three full days to plan without the noise and distraction of a normal work week. ⏰

According to Freddie Mac's historical data, some of the best deals happen in Q1 before the spring market heats up. Why? Because most people wait. They think spring is "real estate season" and miss the strategic advantage of moving when others aren't. 🎯

Real estate is a long game. Whether you're buying your first home, adding to your rental portfolio, or building an STR empire, the moves you make in Q1 2026 could define your entire year. Possibly your decade. 🏆

So yes, enjoy the long weekend. Sleep in. Spend time with family. But maybe also spend an hour or two doing the research and planning that your future self will thank you for. Because while everyone else is coming back to work on Tuesday scrambling to catch up, you'll already be ahead. 🚀

The best time to plant a tree was 20 years ago. The second best time is this weekend. Even if it's MLK Day weekend and technically you're supposed to be relaxing. Sometimes the best relaxation is knowing you're building something. 🌳

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Disclaimer: This newsletter is for informational and entertainment purposes only. Rates and terms vary by lender and borrower qualifications. Always consult with a licensed mortgage professional, financial advisor, and tax expert for your specific situation. The balance transfer strategy discussed requires careful consideration of your credit profile and spending habits.