Don't Wait Long...Interest Rates Nearing Lows!

By
Real Estate Agent with CHANE REALTY INC 3230505

If you’ve been waiting for interest rates to fall again before buying or refinancing, don’t wait too long...your time has come!  Interest rates are once again nearing historical lows, and just in time for the home buying season.
 
Although rates were not expected to fall this low so soon, the average 30-year rate has dropped to approximately 3.875%, with the 15-year rate nearing 3.09%.
 
This time last year, the average 30-year interest rate was hovering at 4.53%. 
 
More Savings and More Purchase Power
The difference in rates is a savings of approximately $100 per month on a loan of $250,000.  But, the lower rates are also good news for homebuyers, as every $100 in savings is approximately $20,000 more purchase power.  A $250,000 pre-approval from a year ago is now equivalent to $270,000, thanks to the lower rates.
 
Because of low inventory in many areas, the extra purchase power is a great relief to many homebuyers, who now have more properties from which to choose.  And, although home prices leveled off during the past year, they are expected to rise slightly during 2015.

Comments (0)