The Federal Reserve announced a long awaited interest rate hike sending the Dow Jones industrial average up 224 points as the modest hike validated the strength of the economy for many investors, economists, and consumers. In their announcement, the Fed plans to continue modest interest rate hikes in the coming years.
Eventually, the additional interest will trickle down to consumers, and according to latimes.com banks like Chase, Wells Fargo, and Bank of America have already announced a .25 percentage point increase in their prime rates used to set rates for credit cards, auto loans, and home equity lines of credit.
The rate hike is expected to result in increased mortgage rates as well, and some news outlets are already claiming interest rates are on the rise or rose in anticipation of the Fed's announcement. A quick look at bankrate.com, however, shows rates are still historically very low and ideal for homebuyers at 3.87% for a 30 year fixed mortgage and 3.06% for a 15 year fixed.
Long story short- there's still time to purchase a home, and benefit from lower rates as well as the significant longer term interest savings realized at the end of the loan term.