Buying a HomeHome OwnershipMarket UpdatesTracie's Thoughts June 6, 2022

5% Interest Rates

Interest rates have gone up in the past few months! But, they are still well below the historical average. In fact, they are 2 points below the 30-year average! Buyers are best to get qualified on payment, not rate. What does this mean? It means we work with a lender who helps us figure out what a comfortable monthly payment is, regardless of interest rate. Plus, sometimes there are creative ways to position your payment by buying your rate down or negotiating seller credits that make sense. Buying real estate is about where you choose to live and building long-term wealth. The interest rate is one element of that formula and since it is 2.5 points below the 30-year average, should not be shied away from. The chances of the rates going back to the heyday of 3-4% would be slim to none, so don’t lose out on the now!