This blog is part of our series on “Frequently Asked Questions- Buying a Home”
“Where are Mortgage Interest Rates Going?” by Keeping Current Matters
The interest rate you pay on your home mortgage has a direct impact on your monthly payment.
The higher the rate, the greater the payment will be. That is why it is important to look at where
rates are headed when deciding to buy now or wait until next year.
Below is a chart created using Freddie Mac’s U.S. Economic & Housing Market Outlook.
As you can see, interest rates are projected to increase steadily over the course of the next year.
How Will This Impact Your Mortgage Payment?
Depending on the amount of the loan that you secure, a half of a percent (.5%) increase in interest
rate can increase your monthly mortgage payment significantly.
Waiting to secure the home of your dreams may mean having to tighten the budget, or sacrificing
on luxuries that may be taken for granted today.
The experts predict that home prices will appreciate by 5.2% over the next 12 months. If both
predictions become reality, families would wind up paying considerably more for their home.
Bottom Line –
Even a small increase in interest rates can impact your family’s wealth. Now is the time to meet with a Tony Clark Realtor and evaluate your ability to purchase your dream home. As always, Tony Clark Realtors is here to guide you along the path to home ownership. From renting to buying, with the heart of a teacher and real knowledge, we encourage you to connect with one of our knowledgeable Realtors Today! 270-926-0055