Some haunting numbers if buyers wait for mortgage interest rates to go up!

With mortgage rates at their all time lows and predictions that mortgage interest rates will edge up in 2011 and 2012 there is a huge long-term interest savings for home buyers to buy now instead of waiting. 

Some scenarios:

$300,000 borrowed

Interest paid over 30 years with current market rates (4.125%) = $223,422

Compared to 5.5% = $313,213

Interest Cost of waiting = $89,791

$500,000 borrowed

Interest paid over 30 years with current market rates (4.25%) = $385,492

Compared to 5.75% = $550,429

Interest Cost of waiting = $164,937

$700,000 borrowed (in high-balance areas)

Interest paid over 30 years with current market rates (4.25%) = $539,688

Compared to 5.75% = $770,603

Interest Cost of waiting = $230,915

Scary stuff!! HAPPY HALLOWEEN!