Mortgage Rates
Why wait? You never really know how to time a Real Estate market.
by admin on Dec.31, 2008, under Mortgage Rates, Uncategorized
If you choose to gamble on waiting this market out, you may find yourself gambling yourself right out of the market. While the bottom is definitely hard to find, some believe
with lower interest rates, buying now is not a gamble.
What most people don’t understand is the impact that interest rates can have on the monthly costs of home ownership. For example, a ten percent drop in home prices is nullified
by an increase of one percentage point in interest rates
on a conventional thirty year mortgage.
Interest rates are at a historic low , with conventional thirty year rates at 4.75% and investor rates at 5.5%. With prices as low as they are, you will find a good bargain if not great in almost all markets. Make surethat you do all your homework and look at the highsand lows in the area, area schools and amenities as well as pricing trends in the last month. All these put together
will show you whether or not your home is a good buy.
