There is much talk in the media about what may come of the future announcements from our government.  There is some hope that interest rates may be cut but in the meantime, they may never come to fruition.

This means from your clients they may wind up waiting for the best and lose out on reality.  If your client is fence sitting today, you must get them into the game.  Whether it is a past client calling you for your opinion of whether to refinance or an active lead waiting for the best time to purchase we have short windows of opportunity.

Rates are important but the differences in payment between a 5.25% and 4.50% may be very little monthly.  Yes they could save $50 per month but they could also wind up paying another $50 per month should they move higher.  Rates are not the  most important part of the decision.  The value of the home you are purchasing, the amount of PMI if you are putting less than 20% down are all factors.  PMI rates adjust just about as often as interest rates, but that is something that is not taken into consideration. 

The more risky the loan the higher the PMI.  So, if you save $50 a month and your PMI factor increases by the same amount, you have not gained.  Let's do our best to communicate to our clients to find the dream home and then we will worry about the rate over the next 30 days while we are awaiting our closing date.  Are we on the same page?