Folks today are presented with the best interest rate environment in over 50 years. That’s right, you can get a home loan for as little as 4%. Compare that with the late 1970’s when mortgage rates were upwards of 12%. With those historically low mortgage rates, shouldn’t everyone buy a home?
We have the largest real estate brokerage company in the area with 50 agents. Usually at this time of year we have 15-20 homes that are under contract. Presently we have 3, all listed under $225,o00. I’ve never seen a market like this one before. We are actually getting a bit concerned.
How much you pay for your home is significantly influenced by the mortgage rate. When shopping for a home, buyers typically look at the home prices. For example, your price range might be $200,000 to $225,000 (of course not in NYC or LA), but the cost to you actually varies depending on your financing options.