Paying to Procrastinate : Mortgage Rates Rising

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May 23, 2017

Paying to Procrastinate: Mortgage Rates Rising

If you had to move today, and you could afford to buy, would you choose to purchase a new home or would you continue to rent? Most people – according to an article published in The Mortgage Reports – said that they would buy. If you’re someone who dreams of owning a brand new home, what are you waiting for? Interest rates are great right now, but most consumers are pessimistic about the future. So act now! If you delay in buying, your procrastination will cost you.
Consumers Pessimistic About Future Mortgage Rates
Fannie Mae’s monthly National Housing Survey report reveals a negative trend about consumers’ feelings about interest rates: a whopping 64 percent of consumers – which is a record high – believe that interest rates on mortgages will increase over the course of the next year.
So are consumers right? Will mortgage rates increase over the next 12 months?
The same article cited above suggest that consumers may be, unfortunately, correct, warning potential homeowners that they should expect rates to remain “steady-to-lower” for the remainder of the year.
Focus on Good Rates Today
Rather than worrying about higher mortgage interest rates tomorrow, consumers should focus on the fact that today, interest rates are relatively good. In fact, interest rates today are at about half of their normal average, historically (about eight percent).
And while mortgage rates are low, rental prices are on the rise, and are expected by consumers to increase 4.1 percent over the next year. And it’s not just interest rates that consumers are feeling gloomy about; more than half of consumers surveyed also believe that home prices will increase, too.
Buy Today – Save Stress and Money
The economic situation is this: mortgage rates are currently low, and in the future, rental prices, home prices, and interest rate prices are all expected to increase. For the prospective homebuyer, then, this means one thing – now is the time to buy. In fact, if you don’t buy now, 64 percent of consumers think that you will pay for it at a later date!
And just in case you’ve been waiting until you have a full 20 percent to put down for your new home, consider that there are now eight different major loan types that do not require 20 percent down!
Buy New with Hayden Homes
If you have been dreaming of owning your own home, now is the time to take action. But don’t settle for a used home. Used home prices are rising, and in many cases, cost the same (or more) than a brand new home. Move into your dream home and enjoy living in it for years to come without pouring thousands into home repairs and upgrades.
If you don’t have 20 percent down, there are financing options available for you, and if you act now, you may save money on the cost of a home and home loan in the future. At Hayden Homes, we have the amazing new homes that you are looking for in the best new homes neighborhoods across Washington, Oregon and Idaho. We can answer questions that you have about financing, too. Check out our new homes today!