(What does this mean to new home buyers?)
If you have been following business news these days, you probably have noticed that mortgage rates are going up in San Bernardino, CA. This trend is expected to continue in the next few years. What does this mean to new home buyers? Well, for those who are planning to buy a new home, this could be the best time to find amazing deals on homes because the interest rates are relatively low.
If you are one of those who are planning to buy a new property, work on it as early as today before the mortgage rates go up. If you could recall, mortgage rates in 2007 went as high as 6.4%. However, today, the interest rates are between 3.52% and 4.5% across various loan types. Think of how interest rates could change in just a short span of time. So, gather all of the requirements and buy before rates become too high that you can no longer afford it.
With the goal of helping you make the right decision, we are giving you some useful insights that could help you find the best deals on mortgage particularly about these two factors that affect home buying decision: Interest rates and season.
On interest rates:
- Majority of home buyers need to get a loan when making a new purchase. It is highly likely that you need it too. Apply for a mortgage loan to take advantage of low interest rates today.
- It is imperative that you check out 30-year fixed mortgage rates prior to house purchase; 30-year mortgage rate sits at around 4.5% these days.
- Mortgage rates fluctuate and that is why timing is really important to get your dream house.
- As of the moment, the mortgage market environment has kept home buying affordable, despite the fact that home prices are skyrocketing not just in California, but across the country.
- Various forecasts suggest that mortgage rates will continue to rise in the next few years.
On the best buying season:
Apart from mortgage rates, seasons also dictate property deals. The reason is pretty basic – the principle of supply and demand. So, keep an eye on the best season of the year prior to purchase, and here are some insights that you might consider useful:
- History has shown that the best time in a year to purchase a new house is between the late fall and early winter. Again, this is due to supply and demand.
- Starter home inventory increase 7% between the month of October and November
- Inventory drops in popular moving months, such as during spring and summer; the lack of inventory affects the price by making it more expensive
- It is an intelligent move to find prospective properties in the fall and then wait until winter to make an offer
Have more questions about getting the best deal on mortgage? Contact HomePlus today at: 800-810-PLUS (7587)