Rising Interest Rates Impact on Housing Market
The Federal Reserve is expected to hike rates by one-quarter of a percent and although that doesn’t seem like much, it could mean hundreds of dollars per month extra for local home buyers.
“With our rates right now – they had gone up to over 7% recently, maybe a few months ago it got up to over 7%. However, right now they are back down to the low 6%.” says FM Realtor’s President Amber Carlson.
Although, If you are looking to buy a home during these times there are a few steps you can take to ensure you have the best home buying experience for you and your family.
First, making sure you can afford the monthly payments, build your credit score, crunch numbers, save money, and make sure you meet with several lenders to discuss your best option.
Allie Lott, a local realtor for Trilogy Real Estate says, “The most lucrative advice I can give to anyone looking to buy or invest in real estate this year, would be to interview your lender just as you would a real estate agent.”
The interest rate hike may detour people from buying a home in this market but there are programs and steps to ensure you get the best deal if you are looking to invest in real estate.
“There’s no say what interest rates will be today or tomorrow. It changes on a dime so it’s extremely important to work with your lender and your realtor.” says Lott.
If you are looking to invest in real estate this year, there are options for you and many people out there to help guide you into your dream home.
Lott expresses, “Interest rates are extremely volatile right now so it’s very important to work with your realtor and your lender to figure out what the best program is for you. There’s so many different down payment assistant programs and builder incentives out there.”
While thinking about buying your next home make sure to do your research.