Rates up for the first time in 4 weeks
While most Americans, and the rest of the world, continue to keep a close eye on the equity markets and the roller coaster ride they have been; the southern Florida real estate market has been just as interesting. Home inventories have remained at, or near, year long lows and are at least partially responsible for slower sales over the past couple months. Pending sales data shows continued weakness and that is why all homeowners and potential buyers should be thankful for the current interest rate environment.
And what an incredible environment it has been. This week the average overnight rate for a fixed 30 year mortgage as reported by Bankrate.com was up a wee bit to 4.21% from the record setting 4.19% we stood a week ago. The benchmark 15 year fixed rate also jumped by 6 basis points last week to 3.5% from 3.44% while the benchmark 5/1 adjustable rate mortgage rose 7 basis points to 3.01% from 2.94% just seven days ago. Volatility is in the air again this week and it will be very interesting to see how the markets react with the debt downgrade continuing to grab the headlines.
Lenders have been swamped with re-financing requests as many people are seizing the opportunity. We are seeing some clients able to change 30 year mortgages in for 15 year and have their payments reman the same ultimately saving incredible amounts of money. Some lenders were reporting re-finance requests increase by over 50% which is a huge number and borrowers timing could not be better with rates hovering near all time lows.
“Results Driven Real Estate” is dedicated to providing our readers the most timely information and analysis of the metrics affecting the real estate market. It is this passion for our business and our customers that makes dealing with us different; we care not about closing the deal but ensuring we are helping each client make the right decision based on their individual circumstances. Again, if you are going to borrow money to purchase your home NOW is the time and I beg you not too wait too long. If we can be of help in any way just give Tom a call at 561 308-0175 or send an e-mail to firstname.lastname@example.org and we are most happy to serve you in any way that we can.
Always at Your Service,
Tom Priester e-PRO
“Results Driven Real Estate”
Keller Williams Realty