Mortgage rates are ever-changing and it is hard to know whether to jump into a home now or wait a couple months to see if rates drop. But there’s also the chance that rates will rise. So what’s a potential homebuyer to do? Fortunately there are those who watch the market and have a handle on what rates are going to do. Although not guaranteed, it’s wise to follow the experts if home buying is in your future as it could mean the difference of a few hundred dollars a month on your mortgage.
This spring, rates have remained fairly steady, averaging at around 3.70% for a 30-year fixed rate mortgage. This is down from about 4.41% this time last year. In fact, according to the latest data from Freddie Mac, fixed mortgages were essentially flat this week. All of this is good news for those considering purchasing a home in the near future.
But should you wait? While there has been speculation that rates may go up in June, Paul Edelstein, director of U.S. financial economics at IHS says, “June is more or less off the table unless there is a big, positive surprise in the economy. We’re thinking September, and I won’t rule out December or even next year.”
Heading into the busy home-buying spring season, waiting could be an option, but with rates hovering near all-time lows, you may want to consider getting into that home right now after all.
Sources:
http://www.bankrate.com/finance/mortgages/mortgage-analysis-041615.aspx
http://www.realtor.com/news/mortgage-rates-unchanged-calm-before-the-storm/
