Mortgage Rates Rise to Highest Level Since 2020

By
Real Estate Agent with HomeSmart Real Estate BR632450000

Mortgage rates are on the continued upswing indicating now may be time to buy a home and fulfil the American Dream for those that have been sitting on the fence instead of your own backyard. With rising mortgage rates and continued inflation locking in a 30 year fixed home payment when comparing to rising rents that will go up year after year is an enticement to BUY NOW.

Freddie Mac does a weekly national mortgage rate survey for rates for those with good credit. Last week January 6, 2022 rates rose to 3.22% for a 30 year mortgage, the highest since 2020. Rates may go up again this week per early indications.

Per Freddie Mac on January 6, 2022, "Mortgage rates increased during the first week of 2022 to the highest level since May 2020 and are more than half a percent higher than January 2021. With higher inflation, promising economic growth and a tight labor market, we expect rates will continue to rise. The impact of higher rates on purchase demand remains modest so far given the current first-time homebuyer growth."

Primary Mortgage Market Survey®

U.S. weekly averages as of 01/06/2022
30-Yr FRM
3.22%
0.11 1-Wk
0.55 1-Yr
0.7 Fees/Points
15-Yr FRM
2.43%
0.10 1-Wk
0.26 1-Yr
0.6 Fees/Points
 
With mortgage rates still near all time record lows and some still below 3.25% it is time to accomplish the American Dream. Homes are often less expensive to buy than to rent these days. Rental prices will only go up and up. A mortgage lets a buyer lock in their monthly payment. 

America is great in so many ways. Anyone can become President, Inventor, Athlete, Astronaunt, Doctor and accomplish their dreams of doing. However there is another dream of family and raising the next generation.

If you had to take the most common characteristic of an American, what would that be?

A Homeowner! The American Dream
That is right! A homeowner or the desire to be one someday is the American Dream. RISMEDIA reports that 67% of Americans live in owner occupied homes.
Flag House

 Home Sweet Home! The American Dream (Photo Pixabay) and you can paint any color you want!

The dream to do so is even greater. The front porch, the picket fence, the backyard cookout, Christmas mornings, marking the children's height on the walls, playing catch in the back yard.

Americans feel it is a goal to strive for. A place of belonging of family. A place to return to. A "Home" that they own.

American Dream

 The American Dream to own a home

Home Ownership is Good for America

 Not only is home ownership an important "value" in America it is a significant contributor in our economy. RISMEDIA also reports that "housing is a key driver of our economy, accounting for 15% of our Gross Domestic Product in general. Research shows that for every home purchased, $60,000 is pumped into the economy for furniture, home improvements and related items. Plus homeowners pay 80-90% of individual federal income taxes, contributing to federal programs that benefit all Americans."

Home Flag

Home ownership is what America is all about (Photo Michelle Bryant- Pixabay)

At Active Rain my hosting site, we believe in Weltanschauung- Belief that Home Ownership is a positive force for the social good

 At Active rain, and one of our guiding principles of " Weltanschauung" we believe that home ownership is a positive force for social good. ActiveRain is committed to empowering real estate professionals so they can help people achieve the dream of home ownership.

Baseball and Life...Object is to "Go Home"

Owning a home is good for us and for America. Baseball, hot dogs, apple pie and going "Home".

Dream Home in Sunny Arizona

Are you thinking of moving to Scottsdale or the great desert southwest? If so, check out homes for sale in Scottsdale

Meet Jeff Masich, Associate Broker, REALTOR® to purchase your Arizona Dream Home

Jeffrey Masich with the Arizona Homes and Land Group would be pleased to meet and represent you as a Buyer or Seller in Scottsdale, Paradise Valley and the Phoenix metro area.

To learn more about Scottsdale living or in the Phoenix metro area and to see homes for sale: Scottsdale Homes For Sale or Arizona Homes For Sale

Here is a FREE MLS Search for homes for sale in Arizona. I, Jeff Masich would be pleased to help you find Arizona Homes For Sale and the right home at the right price!

Free MLS Search Arizona

Press FREE MLS Search to search for Arizona Homes and Land

Posted by

Jeffrey Masich, Associate Broker, REALTOR®, MBA, GRI, BS Accounting

HomeSmart

Scottsdale, Arizona

JeffMasich@ArizonaHomesLand.com

http://ArizonaHomesLand.com

480-242-6500

 

 

Comments (4)

Hannah Williams
HomeStarr Realty - Philadelphia, PA
Expertise NE Philadelphia & Bucks 215-820-3376

Jeff Masich-Scottsdale AZ Associate Broker,MBA,GRI   I remember when I purchased my second home and interest rated were 19% I received 15.5 % and thought I got a deal  but I only paid $55,000 for a house that today is worth $300,000 

Jan 12, 2022 06:40 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

The economy really hasn't caught up to the cost of living the way it probably should but we will get through it likewe always do

Jan 12, 2022 10:24 PM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Jeff, have heard a few complaints from Buyers saying the rates are "high", and remind them they are still very low compared to just a few years ago.

Jan 13, 2022 07:06 AM
Jeff Masich-Scottsdale AZ Associate Broker,MBA,GRI
HomeSmart Real Estate - Scottsdale, AZ
Arizona Homes and Land Group/ Buy or Sell

Yes Joan Cox there is  a big difference between saying rates are higher or high. Higher than a year ago, but still closer to record lows looking back 50 years. Jeff 😎

Jan 13, 2022 12:55 PM