Mortgage Monday: Rates Are Still Low

Mortgage Rates Are Still Low

If you have been waiting for rates to get any lower than they were last month, you missed the boat. Rates are still low for a 30-year FHA loan. At only 4.75%, it is the best show in town. Find that home you always wanted to buy and make an offer. Prices are still creeping down and mortgage rates are on the rise. Get it while the gettin’ is good. What other cliches can I use to convince you that NOW is the time to buy?

Rates will continue to rise throughout the year so be ready for them to climb back up to 6% or higher. Just remember that a rise in interest rates lowers your buying power. Your monthly payment can remain the same but your buying power is reduces. The amount going to interest increases enough so that the home you love at $200,000 at 4.75% is now the home you love at $177,867 at 5%, or is now the home you love at $159,257 at 6% interest.

Get out there and find that home that is waiting for you before rates get higher.

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