Big Rapids Mortgage Rates set to Increase
Big Rapids Mortgage Rates are set to increase later this summer. According Janet Yellen, Chair of the Federal Reserve Board, a rate hike is likely at some point in 2015 but reassured investors that the trajectory of increases to follow will be “gradual.”
Are you contemplating the purchase of a new home, or perhaps your first home? Many first home buyers have learned that finding that, almost perfect, home is not an easy process. There is the financing consideration and becoming "pre-approved" for the purchase of a home. Then, of course, is the actual physical search. Of course, 90% of our sales come from, in the beginning, an internet search on Coldwellbanker.com, cbgreatlakes.com or some other site. We cannot discount the fact that you must still go visit the home and "feel" the need to purchase it.
Recently, I saw a Conventional Mortgage Rate of 3.5% for a 30 year mortgage advertised by a local institution. This is actually a very nice rate. Yes, there are lower rates available for 20 year mortgages and top quality credit.
What Ms. Yellen said in her comments was that they would "probably" be raising the rates they charge later this year. This will most likely translate into an increase in the rates you are charged when purchasing a home. As a point of reference, a .5% increase in interest rate would mean a $32 per month increase in a $100,000 home. ($11,520 over the length of the loan)
And, remember, when you are ready to buy or sell, give me a call and I can perform a Competitive Market Analysis for you (free of charge) and we can discuss how Coldwell Banker Schmidt and I can help you to achieve your goals. I would be honored to be your agent.