The good news is that rates early this week hit the lowest point since mid 2005 with 30 year fixed rates to be had for under 6 Percent. This is huge, as over the last 50 years there are very few times that rates have dropped to this level. I can still remember fixed rates in the 80's of over 15 Percent. What do you think that would do to your housing expense and disposable income?
The employment numbers which were released this morning were much more positive than anticipated. This has put pressure on mortgage backed securities causing their yield to rise. This movement has increased rates a little, but still leaving us with historically low home mortgage interest rates. The 10-year bond is currently up 20 basis points from Monday of this week, trading at 4.08 Percent -up from 3.88 Percent. Our feeling is that despite the market gyrations we will enjoy these favorable rates over the near term, making this a great time to purchase or refinance.
2007-12-10 02:34:02 · 7 answers · asked by Kat 3 in Business & Finance ➔ Renting & Real Estate
The interest rate is low compared to as in the past. It talks about employment, since employment means people are able to perhaps pay bills etc... thus changing the economy, therefore changing real estate slowly since it is slow in adjusting to the economy. In other words, is a great time to buy real estate before rates increase!
2007-12-10 02:45:43 · answer #1 · answered by Yvette 4 · 0⤊ 0⤋
First, the market does not "gyrate." It fluctuates though.
What this means is what it usually means. Lower interest rates mean that if you buy and house and if you get a loan to do that, you will pay less once it is all said and done.
Lower interest rates equal lower monthly payments.
BUT you must watch out for closing costs and other associated factors. If you are paying four points, that is four percent of your loan amount, up front. So you can think of it as that first payment will be at 10 percent instead of 6, using your example.
2007-12-10 03:14:54 · answer #2 · answered by chris_at_lucas 3 · 0⤊ 1⤋
they are basically saying the interests rates are incredibly low, but the employment numbers released look promising, though because of the economy they think that these interest rates are going to be around for a little while, it's no guarantee and this is the time to strike on the real estate for the best interest rate for mortgage or refinancing.
2007-12-10 02:42:00 · answer #3 · answered by Mordi 3 · 1⤊ 0⤋
They have not had to for the reason that there's a financial company good around the line (quite). They put in a site visitors easy, flow walk and have a crossing look after. or you ought to use the return and forth. you do no longer even ought to bypass into the financial company in case you do no longer choose to. you may merely bypass as much as between the 8 residing house windows.
2016-10-01 07:11:19 · answer #4 · answered by ? 4 · 0⤊ 0⤋
favorable rates + price deflation = great time to buy! If you have superior credit, that is, and if you are not in a position where you are forced to sell your current house to move.
The banks have tightened up credit standards to the point where you have to be a reallllllly good credit risk to get approved.
2007-12-10 02:38:27 · answer #5 · answered by Slappy McStretchNuts 5 · 0⤊ 1⤋
They're just telling you that interest rates are low and its a good time to buy a house.
2007-12-10 02:38:22 · answer #6 · answered by hottotrot1_usa 7 · 1⤊ 0⤋
they are telling you they need loans because rates are low but no one is qualifing for loans so they are desperate make your own decision when you are ready
2007-12-10 04:34:45 · answer #7 · answered by Fabio G 3 · 0⤊ 0⤋