A FEW POINTS ABOUT INTEREST RATES!!

A few points about interest rates.

Less is more when it comes to interest rates.

If you’re new to investing or real estate and don’t know the first  thing about interest rates, here’s a good tip: the higher the interest  rate, the more expensive it’s going to be. High interest rates mean
you will have to pay back more on the money you borrow. Another good  rule of thumb is that affordability increases if you use an adjustable rate mortgage (it’s easier to qualify this way). Of  course, there will be a wide range of prices that you can choose  from, depending on what kind of financing you choose..

Not even the Fed knows for sure what they will do with interest rates.

The Fed holds a considerable amount of power, but they can’t control  everything. Mortgage interest rates are affected by many unpredictable  political, economic and social events. So there is no guarantee what  direction interest rates will go, despite the forecasts of the  experts. Therefore, make your financial decision based on where  things are today including your budget, your needs and your future plans.

Locking in interest rates assures your lowest interest

If you do decide you want to lock in at a certain interest rate, you  will need to complete a loan application and send it to your lender as  soon as possible. This must be done so that your commitment doesn’t  runout before your loan is approved. Follow up and be se sure that  the lender is receiving all of the necessary documentation. Get a  property appraisal, which usually costs about $300, through your loan  agent as soon as possible.

Don’t obsess and miss a good real estate deal because of fluctuating interest rates.

Although rising interest rates can create more problems for home  buyers, waiting and hoping for low rates is not necessarily a smart  move. You may end up paying a higher price. Also, refinancing is  always an option in the event that interest rates come down.

interest rates

Visit again soon! I have more information that you will need!