3 Things I Think You Should Khow About This Week

Number ONE - Mortgage rates have held steady! 

Rates have now remained around 6.25% for over three weeks. As of today, the prevailing rate has dipped back to near 3-year lows.

• The government shutdown has moderated changes up or down causing rates to remain laregly unchanged. However, some reaction to Fed policy and information from private data sources have caused rates to slightly relax to current levels.
• The spread between the 10-year treasury and 30-year fixed rates has also been narrowing, contributing to better rates.
• As a result, at least in part, purchase activity continues to show moderate growth on an annual basis.

Number TWO - Buyers utilizing mortgage tools such as bridge loans are finding success purchasing their ideal homes prior to having to sell their current properties.

• Bridge loans offer a unique opportunity for buyers to access equity.
• A flat fee bridge loan program offers 0% interest and no payments.

Number THREE - For homebuyers, understanding the key differences between price reductions and seller-paid concessions is crucial for affordability.

• Real-life scenarios, such as the one we illustrate in our latest Mortgage Minute video (see below) highlight the impact of interest rates on monthly payments and buyers are saving not only hundreds per month, but in many cases, over a thousand dollars/month on their mortgages.
• Today's market conditions present opportunities for buyers despite challenges that are being reported by the media.

BOTTOM LINE