Brexit. It's all over the news these days. The synonym is being used for "Britian's exit" from the European Union. While some British voters are regretful, the exit has left U.S. home buyers with a very definable windfall of mortgage rates that are now the lowest they’ve been since late 2012.
Lower rates produce lower monthly payments and allow buyers who are well qualified to afford more home than they could have at the beginning of 2016. These low rates have a downside, though, many lenders are becoming tougher on credit restrictions, requiring grade-A credit, and possibly more money in the down payment.
People who are already winning in the real estate market will get the best boost Brexit. Sellers in the right locations and price points will continue to have the upper hand as investors and first-time buyers fight for limited inventory. Well-qualified buyers will be able to capitalize on historically low mortgage rates. And developers and builders should be able to take advantage of those lower rates to line up land and lots to fuel more inventory expansion for the future.
Want to know how Brexit is affecting the housing market and home buyer activity in the area? Call us! We'll be glad to sit down with you and discuss advantages and disadvantages of the market right now. Call us at (423) 433-6517 or come by our office inside Keller Williams Realty in Johnson City, located at 1033 Hamilton Place.
To see hundreds of homes for sale on our website. Go here: Homes for Sale in East TN to begin your search for the perfect home now.
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