{"id":24657,"date":"2013-07-03T08:04:36","date_gmt":"2013-07-03T12:04:36","guid":{"rendered":"http:\/\/thelehighacresgazette.com\/news\/?p=24657"},"modified":"2013-07-03T08:04:36","modified_gmt":"2013-07-03T12:04:36","slug":"mortgage-rates-and-the-housing-market","status":"publish","type":"post","link":"https:\/\/thelehighacresgazette.com\/news\/2013\/07\/mortgage-rates-and-the-housing-market\/","title":{"rendered":"Mortgage Rates And
The Housing Market"},"content":{"rendered":"

\"\"Have you been watching mortgage rates recently? As a real estate professional, it\u2019s important to know how rising and falling interest rates affect our local market.\u00a0 If you don\u2019t know what\u2019s going on, how can you properly advise your clients? As a buyer or seller, it\u2019s important that you know how the market data affects you and your buying or selling strategy. Rate sheets over the past couple of weeks have been a bit chaotic following the securities that underlie mortgage markets. Since this and other markets weren\u2019t being traded smoothly, the rate sheets reflected this. Everyone seemed to be preparing for the worst.<\/p>\n

But, let me deliver some good news. Rates continued lower today, extending the recovery. You can first see improving signs from lenders as of last Wednesday. Since that time, the majority have made the move to take off at least a quarter of a point.<\/p>\n

Now, it\u2019s time to settle in and see what happens when we get the unemployment numbers on Wednesday, and the more important unemployment data on Friday.\u00a0 So, be watching closely. These numbers may affect the outlook for September.\u00a0 If the numbers reinforce that we are moving into a more healthy economy, rates could certainly still move higher.\u00a0 If they cast doubt on the health of the economy, the rates will continue falling. A \u201chealthy\u201d marketplace would be in terms of the ability to confidently trade in MBS (Mortgage-Backed-Securities<\/a>); these trades most directly influence mortgage rates according to market experts.<\/p>\n

 <\/p>\n

The top lenders in the U.S. today advised the best rates to shoot for right now.<\/p>\n

30YR FIXED \u2013 4.375-4.5%<\/p>\n

FHA\/VA \u2013 4.0 OR 4.25%<\/p>\n

15 YEAR FIXED –\u00a0 3.5 \u2013 3.625%<\/p>\n

5 YEAR ARMS –\u00a0 2.875-3.375% depending on the lender<\/p>\n

When considering these findings, keep in mind that these rates are under ideal conditions. There are many reasons a quoted rate may differ from the average rates stated above. Use these rates to track what\u2019s going on locally for you. For more details on your particular rate quote, seek out an experienced local lender. You need a lender that knows the market where you intend to buy or refinance.<\/p>\n

Why This Is Important If You Are Buying<\/p>\n

If you are paying cash for a new home, vacation home, or investment property, this will affect you very little. If you are financing any part of your purchase, the borrowing rate will indeed be a factor. It may stall your home-buying or may inhibit you from purchasing altogether depending on your lender\u2019s recommendations. The higher rates go, the higher your monthly payment. This will affect your P-I-T-I<\/a>, meaning you will be spending more but your dollar buys you less. The lower the rate, the further your dollar will go and the less money you will pay over time.<\/p>\n

Why This Is Important If You Are Selling<\/p>\n

Right now, our Lehigh Acres area is predominately a seller\u2019s market; there are many buyers and not enough available listings. But, there are two things as a seller you must consider:<\/p>\n

    \n
  1. Pricing your home correctly during a time period when rates are rising is crucial to a quick sale.<\/li>\n
  2. The higher your list price is while rates are rising, the fewer buyers you will have that will qualify to purchase your home.<\/li>\n<\/ol>\n

    Anyone can go on a third party website and look at recent sales and try to figure out the best initial list price, but there are several other factors to consider as well. If you gamble and choose too high a number, your home will sit on the market while others around you sell and your home will be considered a \u201cproblem\u201d home for sale. If you put it too low, you not only miss out on potential profit, but you can actually lower market values in your neighborhood. Just contact me and we can create a winning strategy that accomplishes your goals in the shortest time available and for the most money back in your pocket.<\/p>\n","protected":false},"excerpt":{"rendered":"

    Have you been watching mortgage rates recently? As a real estate professional, it\u2019s important to know how rising and falling interest rates affect our local market.\u00a0 If you don\u2019t know… <\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[103],"tags":[],"_links":{"self":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts\/24657"}],"collection":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/comments?post=24657"}],"version-history":[{"count":0,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/posts\/24657\/revisions"}],"wp:attachment":[{"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/media?parent=24657"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/categories?post=24657"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thelehighacresgazette.com\/news\/wp-json\/wp\/v2\/tags?post=24657"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}