Thinking about building an ADU? There are some expensive mistakes you need to understand before you start construction.

After funding more than 100 deals involving ADUs, Kenny Simpson has seen what can go wrong, from appraisals and construction costs to refinancing problems and properties that don't produce the value owners expected.

In this week's The Brief, Kenny breaks down 7 ADU landmines every homeowner and real estate investor should understand:

1. What are you actually building?
Do the comps and rents support your plan?

2. What will it really cost?
Spending $350,000 doesn't automatically add $350,000 in property value.

3. The appraisal
ADUs can be difficult to value, and the wrong appraisal can create major problems.

4. Your takeout loan
Don't assume you'll automatically be able to refinance and pull your construction money back out.

5. Selling the property
The market may not value your finished project the way you expected.

6. Qualifying for financing
DSCR, residential and commercial lenders can treat these properties very differently.

7. Your team
The lender, loan officer, appraiser, agent, and other professionals you work with can make or break a complex ADU project.

The biggest takeaway: do the research before you build.

Understand the potential value, rents, appraisal, financing, refinance strategy, and exit plan before committing hundreds of thousands of dollars to an ADU project.

The Federal Reserve may be running out of reasons to raise interest rates in 2026.

The latest jobs report came in far weaker than expected, previous months were revised lower, and wage growth has slowed. At the same time, inflation isn't showing the kind of spike that would make another Fed rate hike easy to justify.

In this week's The Brief, Kenny Simpson breaks down:

• Why the latest jobs report matters
• Why wage growth may be the number everyone is overlooking
• What slowing wages mean for inflation
• Rising auto, credit card, and student loan debt
• Why consumer stress matters to the Fed
• Why Fed rate hikes could be off the table
• What would need to happen for rate cuts
• What this could mean for mortgage rates and real estate

Kenny's key point: if wage growth continues falling, the job market stays weak, consumers slow down, and inflation doesn't spike, it becomes increasingly difficult for the Fed to justify raising rates.

Big news!

We've officially expanded into more states, allowing us to help even more buyers, homeowners, investors, and self-employed borrowers with their mortgage financing.

In this week's Brief, Kenny Simpson shares:

The new states we're licensed in

Why being a mortgage broker gives clients more options

How access to over 100 lenders helps find better loan solutions

Why experience matters in today's market

How we've invested in technology, AI, and client communication to deliver a better mortgage experience

Why referrals continue to be the biggest part of our business

Whether you're buying your first home, refinancing, investing, or you're self-employed, we're here to help.

Has inflation finally peaked?

The latest inflation report suggests prices are no longer rising at the pace we've seen over the last few years, and that's changing the conversation around interest rates.

In this week's Brief, Kenny Simpson breaks down:

• The latest CPI and PPI reports
• Why economists believe inflation is cooling
• What this means for mortgage rates
• Why the Fed may shift away from rate hikes
• The biggest risks that could push inflation higher again
• What buyers, homeowners, and investors should watch next

If you're waiting for lower mortgage rates, understanding inflation is one of the most important pieces of the puzzle.

Being self-employed shouldn't stop you from buying a home.

In this week's Brief, Kenny Simpson explains why so many business owners are denied by traditional banks, and the mortgage options that could help them qualify.

In this episode, we discuss:

• Why self-employed borrowers are denied more often
• Bank statement loans
• 1099 loans
• Profit & Loss (P&L) loans
• Asset-based lending
• DSCR loans for investors
• How mortgage brokers access more lending options than most banks
• What you need before applying

If you're an entrepreneur, freelancer, contractor, or business owner, this video will help you understand the options available today.

The latest jobs report may be one of the most important of the year.

While unemployment appeared to improve, the underlying numbers tell a very different story. In this week's Brief, Kenny Simpson explains why this report could change the conversation around interest rates and the economy.

In this episode, we cover:

• Why only 57,000 jobs were added
• Why 720,000 Americans stopped looking for work
• Downward revisions to April and May employment data
• Hospitality job losses
• Labor force participation trends
• Why the Federal Reserve may shift toward rate cuts
• What this means for mortgage rates and the housing market

If you're watching mortgage rates, the economy, or the housing market, this is one jobs report you shouldn't ignore.

Most people think successful real estate investing starts with finding a great property.

It doesn't.

It starts with having the right strategy and the right team.

In this week's Brief, Kenny Simpson shares the framework he uses to help investors build and scale their real estate portfolios.

Topics include:

•⁠ ⁠Choosing the right investment strategy

•⁠ ⁠Building the right team

•⁠ ⁠Finding experienced lenders and agents

•⁠ ⁠Financing investment properties

•⁠ ⁠Partnerships and raising capital

•⁠ ⁠Common mistakes new investors make

•⁠ ⁠How experienced investors continue to scale

Whether you're buying your first investment property or expanding an existing portfolio, this episode covers the fundamentals that can help you avoid costly mistakes.

One of the biggest appraisal changes in decades is coming this November.

The industry is moving toward a new system that requires more data, more transparency, and more detailed property analysis.

In this video, Kenny Simpson breaks down:

• The new appraisal framework
• Why appraisers will need more property data
• How ADUs may be valued differently
• Why upgrades and amenities may matter more
• What homeowners should expect
• Why appraisals may take longer and cost more
• How this could impact refinances and purchases

For homeowners with unique properties, custom homes, ADUs, guest houses, pools, and significant upgrades, this could be one of the most important appraisal changes in years.

Everyone talks about inflation.

Almost nobody talks about where the money is actually going.

In this week's Brief, I break down:

• waste, fraud & abuse
• government spending
• inflation
• affordability
• interest rates

Whether you're left, right, or somewhere in the middle, one thing affects everyone:

The cost of living.

And if billions of dollars are being wasted every year, that money doesn't just disappear.

It impacts inflation, affordability, and ultimately the housing market.

I break it all down in this week's Brief.

The mortgage industry could be heading toward major changes.In this video, I break down Trump’s latest executive order and what it could mean for mortgages, lending, and the home buying process moving forward.We cover:• Why mortgage lending became so complicated after 2008• Digital mortgages and remote online notarization• Faster closings and less paperwork• Why the industry wants more efficiency• Concerns about making lending “too easy” again• What this could mean for borrowers and lendersThe goal isn’t to bring back risky lending…It’s to modernize and simplify the mortgage process.About Kenny SimpsonKenny Simpson is a mortgage advisor and founder of The Simpson Team, specializing in 1–4 unit residential financing. With over 20 years of experience and more than 5,000 clients served, Kenny shares weekly insights on mortgage rates, lending, real estate, and the economy.👉 Learn more: www.simpson-team.com📲 Instagram: @kennybsimpson🎧 Podcast: Get In The Cashflow Game (Spotify)

Most real estate investors aren’t paying all cash.

They’re using bridge loans, fix & flip financing, and construction loans to scale faster and grow their portfolios.

In this video, I break down:

• Bridge loans
• Fix & flip loans
• Construction financing
• How leverage actually works
• What lenders look for
• How investors scale into multiple projects at once

I also explain:
• ARV (after repair value)
• loan-to-cost
• experience requirements
• how investors recycle capital and scale faster

This is the strategy many experienced investors use to grow without tying up all their own cash.