Consider this for a minute……Interest rates have DOVE from an average of 4.75% to 4% in the last ten days or so!! With all the issues facing our economy, the stock market tumbling due to the US credit rating being cut, and the recent statement by the fed to ease rates…..Mortgage Bonds have rallied, and rates have dropped!
That being said, we have no idea how long this opportunity will last. Inflation is a BIG concern and many pundits believe these interest rates will NOT last forever!
At 4.75% a borrower could buy at $150,000 with a PI payment of $779….at 4% it’s $713!!! $66 difference!
At 4.75% a borrower could buy at $100,000 with a PI payment of $519….at 4% it’s $475!!! $44 difference!
THAT’S BUYING POWER!!!
Why would anyone that CAN buy not be buying right now?
I remember buying my first home in 1990 at 9.875% 30 year fixed! What an amazing time for young people to buy a home….LOW rates, Low prices
