There’s good news for Home Buyers. Mortgage rates are at a 16 month low.
If you’re thinking about buying a home here’s the kind of rates you are going to find out there.
Today’s mortgage rates
15 Year Fixed Rate at 3.0%
30 Year Fixed Rate at 3.5%
FHA 3.41%
VA 3.43%
Of course these rates are not guaranteed and rates can fluctuate on a daily basis. The point is, mortgage rates are low, low, low.
Rates have been driven down which is good news for buyers. What’s the cause?
The trade war between the U.S. and China is making investors fearful. Which in turn causes them to flee to U.S. Treasuries. Which drives bond prices up and yields down. Which drives mortgage rates down!
Last year at this time we were worried that the FED was going to continue to raise rates. We expected to see home loan rates in the 5% and even 6% range. Yet, that didn’t happen.
Our strong U.S. Economy is making everyone happy and feeling good about the future. Therefore, the FED took their foot off the gas regarding rates and that’s helped homebuyers.
We continue to find ourselves in a unique real estate market where there is good news for both buyers and sellers. Buyers are enjoying low interest rates. Sellers are enjoying a lot of buyer demand which means a quick sale and top dollar pricing.
Some buyers are finding it a struggle to find an affordable home, but these low rates takes a lot of the pressure off. A small change in rates can mean a savings of hundreds of dollars in payment each month. This, in turn, can mean a savings of tens of thousands of dollars over the life of the loan.
If you are thinking about buying a home in the Austin, Texas area be sure to give me a call today. 512-516-4666
