The Cost of Waiting - The Cost of a Fraction of a Percent.
Have you ever examined the fluctuation of interest rates and realized the difference a day can make?!
Rising interest rates is a sign of a thriving economy.
The economy has made nearly a full recovery since almost a decade ago when the housing market downturn began wreaking havoc. Wages are up and unemployment now sits in the low 4 percentile. A basis that flirts with inflation and inflation hurts mortgage rates.
Interest rates are projected to increase steadily heading into 2019, however rates are still low by historical standards. Now could be the time to lock in your rate, while rates in the mid-4s can still be found. Here is an example of how your payment may be impacted by waiting too long to make your next move:
At today’s rate, payment on a $250,000 loan might typically be $1250, approximated. Should the rate go up even 1/10th a percent in the next quarter, this would increase your monthly payment by almost $15. Should you wait for the projected increase in the 4th quarter, your payment may be higher by almost $75 from today’s rate. In 2019, when the rate is projected to reach the 5 percentile, your monthly payment could be higher than today’s rate by over $100!
The cost of waiting to purchase a home is avoidable if you pick up the phone and call us today!