Rising interest rates in our market mean that both buyers and sellers need to act soon to get the best deal possible.
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Between November and December of last year, the average interest rate for a 30-year fixed loan rose from 3.47% to roughly 4%. This wasn’t surprising considering interest rates were predicted to go up, and now that we’re settling into the new year, they’re predicted to rise even further in 2017.
What does this mean for you?
As a home buyer, for every percentage point interest rates increase, it means you can afford less of a home. On a long-term amortization scale, waiting to buy could cost you anywhere from thousands to hundreds of thousands of dollars on the actual payoff of your home.
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Now is the time to act for both buyers and sellers.
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If you’re looking to buy a new home, now is the time to take action. You will get a great home with a great rate that you’ll be able to live in for however long you want for a really good payment.
If you’re looking to sell your home, it means the exact same thing—now is also the time to take action. Buyers are serious about buying homes right now because the higher interest rates go, the less home they will be able to afford. At the end of the day, you want to capitalize on the price in the market, and rising interest rates can only hurt your home’s value.
Whether you’re a buyer or a seller, please call me, email me, or shoot me a text so we can make a plan together about how to proceed. Despite this uptick, interest rates are still at historic lows. If you make your move now, you’ll have a better chance at getting what you want where you want to be. I look forward to talking with you!
