If you have been thinking you want to buy a house soon, this is the time to buy before the rates go up again. I have dealt with all types of financing for real estate transactions over the past 26 yrs but now just do Hard Money financing. This type of loan can salvage many transactions in progress as well as help those who don’t qualify for conventional financing. It’s a lot less hassle for the buyer and seller.
You should contact your local Hard Money Lender and they should be able to help and tell you what your options are. Also, not many home owners are aware of a Bridge Loan but you can get this type of loan to help you buy another home while also working to sell your current property.
I hope you find the below article and info graphics helpful as they clearly show how good the rates are right now. Go ahead and find your new home now, don’t “wait until spring”.
Forest Tardibuono is Co-Owner and CA BRE Broker known as “The Guy in the White Hat” of Sun Pacific Mortgage & Real Estate - Your Northern CA Hard Money Lender since 1988. P.S. We love referrals! www.sunpacmortgage.com. BRE license #01464899/NMLS #360993
- Freddie Mac, March 24, 2014
There are those that hope that 30-year mortgage interest rates will head back under 4%. Obviously, for any prospective home purchaser that would be great news. However, there is probably a greater chance that interest rates will return to the greater than 6% rate of the last decade before they would return to the less than 3.5% rate of 2012.
Freddie Mac, in one of four original posts on their new blog, explained that current rates are still extremely low compared to historic averages:
"The all-time record low – since Freddie Mac began tracking mortgage rates in 1971 – was 3.31% in November 2012. Conversely, the all-time record high occurred in October of 1981, hitting 18.63%. That's more than four times higher than today's average 30-year fixed rate of 4.32% as of March 20...rates hovering around 4.5% may be high relative to last year, but something to celebrate compared to almost any year since 1971."
If you are thinking of buying a home, waiting for a dramatic decrease in mortgage rates might not make sense.
Agents: Would the chart above help you put today’s interest rate environment in perspective when you’re meeting with buyers? How about a few more showing rate projections and the impact this would have on your buyer’s purchasing power? Start your 14-day trial of KCM to get these and many more visuals to educate your clients.