by Gaye Jones ~ AnnieMac Home Mortgage
The answer is no, rates are still lower than anything seen before last summer’s rock
bottom rates, but the window is growing shorter. Many homeowners can still save
thousands of dollars over the life of the loan with a refinance. The low rates of last
summer helped push the home values up, so many homeowners can refinance and rid
themselves of monthly mortgage insurance or take cash out to pay off other debt.
Experts predict rates will be over 3.5% by year end, but new homebuyers shouldn’t
panic, that is still a historically low rate and can buy a lot of house!
Nearly half of all borrowers currently have rates below 4%. That leaves half paying
over 4% which may benefit from a refinance to lower their rate, rid the monthly mortgage
insurance or pull cash out to pay off other debt or invest.
With inflation rising you will see Mortgage Rates follow the same trend. Last week
the rates hit their highest level since June of 2020. Some of the guideline restrictions due
to COVID are easing but new restrictions on investment properties, vacation homes &
condos will hit that market.
In a volatile market the best advice is always “don’t wait” if you qualify now you
should pull the trigger as that opportunity may not be there next week!