If you’re thinking about buying or selling a home sometime soon, this news is for you.
For a long time now, interest rates have remained near all-time record lows. That has opened up some terrific opportunities for people looking to buy a home. But, that’s all about to change.
Earlier today, the Federal Reserve Bank announced that short-term interest rates will increase by one-quarter point. In addition, the Fed signaled that further rate increases probably will occur in 2017, most likely taking the form of several upward moves adding up to an additional three-quarters of a point increase. If that’s the case, then we can expect short-term interest rates to be about a full point higher at this time next year than they are today.
This news matters to people who are looking to buy a home with the assistance of mortgage financing, since higher interest rates make it more expensive to borrow money and therefore decrease overall buyer purchasing power. And, of course, anything that effects the ability of buyers to buy property also effects the ability of sellers to sell their home.
So, if you’ve been thinking about getting into the real estate market and selling and/or buying a new home, take note. Now might be the perfect time to take advantage of relatively-low interest rates before they’re gone. We can help! Contact us to learn more and to start looking for available property today.