I'm sure you've noticed that interest rates are creeping up.....again! They were the lowest they've been in years. Rates are still very good, but they may not stay that way for long! Another factor to consider is that housing prices are near what they were in 2003 in our particular area! Do you know someone who is fence sitting....waiting for the perfect time to buy? Yeah, most of us do. You may want to make them aware of some very interesting numbers. Point out to them the difference in owning a $320,000 vs. a $240,000 home for the exact same payment amount! Do you think that might make them sit up and take notice?
Loan Amount Rate Payment Payment Rate Home Price
$320,000.00 @ 5.25% = $1,766.00 $1,766.00 @ 5.25% = $320,000.00
$320,000.00 @ 6.00% = $1,918.00 $1,766.00 @ 6.00% = $294,700.00
$320,000.00 @ 6.50% = $2,022.00 $1,766.00 @ 6.50% = $279,540.00
$320,000.00 @ 7.00% = $2,128.00 $1,766.00 @ 7.00% = $265,566.00
$320,000.00 @ 7.50% = $2,237.00 $1,766.00 @ 7.50% = $252,680.00
$320,000.00 @ 8.00% = $2,348.00 $1,766.00 @ 8.00% = $240,775.00
FACT: Rates are Phenomenal - now!
FACT: Home Prices are Lower and Fantastic!
FACT: We are in the PERFECT STORM!
Home prices and interest rates are subject to change and both most likely will go up.
Payment will go up substantially for the exact same home!
Food for thought!
Contact Suzanne Gallegos, Salt Lake City's Service First Realtor
Serving Salt Lake City, Utah and surrounding areas
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