Well, it looks like we can kiss 4% rates goodbye, but great rates are still out there! This week, rates rose to 5.02%. It seems that most financial experts expect rates to stay between 5% and 6% for all of 2011. Now, that does make a difference when buying a home. The difference, when buying a home, between 4.25% and 5%, is about 9% in buying power. So, if you are thinking of buying, you already know that the sooner, the better in regard to rates.
However, don’t let 6% scare you. Only 15 years ago in January 1993, the average rate for a 30-year fixed mortgage was 8.12% and 20 years ago in January 1988, 10.55%. Even those rates seem low though when considering the average interest rate for a 30-year fixed mortgage in January 1983 came in at a whopping 13.40%.
So, rates are still great. If you need recommendations on loan officers, plesae contact us. We have trusted people we would love to tell you about.