Home Buying Purchase Power Increases
By all measures, mortgage interest rates are extremely low. The ability to save thousands in interest with a wise purchase or refinance exists today. Take advantage of this opportunity to increase your cash flow monthly, cut the rate and term of your loan (saving thousands over years) or increase your buying power. Your borrowing power is about 10% greater with interest rates at today's levels vs those seen last year. Take advantage of these historically low rates. Call and get prequalified or have an analysis done on a refinance for your specific needs. It takes just a few minutes and might save you a lot of money.
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On March 2 the lowest ever 30 year average was recorded near 3.2%. They have risen since that date but are still below where they were on Jan 1 2020. Where are they going? In a recent survey of "experts"; 36% said higher, 36% said lower and the truthful 28% said they did not know. We are in an uncommon territory for sure, but what is known is this: In the past 40 years, 30 year rates have spent most of the time in the 6-10% range. In the more recent past they have only been below 4% for portions of 2012, 2013, 2015, and 2017 until the past two weeks. By any measure they are at or near all time lows, and historically have not held those levels for long periods of time. Take advantage of these rates and increase your buying power, refinance to lower rates and increase your cash flow or cut your term and save thousands in interest. Pre-qualifications can be done in a few minutes over the phone. A wise investment of your time for sure.
Takeaways:
-Applications for mortgages rose 79% the week of March 6th (this caused a major overload of the system)
-Rates bottomed out on March 2nd
-Rates move up so fast between March 5 and 13 that many Lenders tried to basically shut down refinance locks
-Rates on purchases are still below 2018 and 2019 levels even with the recent increases.
-Rates could move higher, lower, or stay where they are
-In Early 2019 rates were at 4.68% (average)
-Highest rates ever recorded were 17% in 1981 and the lowest was this March 2nd, 2020.
Contact us today for more information