Looks like the days of under 4% five years are going away soon. The bond yields keep creeping up which means the banks need to keep their margins in tact to keep profits up.
This can be a good thing for some and a not so good thing for others.
The reason it can be a good thing for some with a fixed rate is, if you're looking to make a change in respect to your mortgage, i.e refinance or move, then you can look at getting yourself booked with a rate right now for 120 days, wait for rates to go up, and then order a discharge statement at the lawyers and there you go, you've just decreased your penalty and received the lower pre rate increase interest rate!
The bad news is, if you're wanting to get in the market in the Spring, you'll have a possible harder time obtaining the home you want. Due to higher rates and the cut from a 35 year amortization to a 30 year amortization.
Best thing is to get a rate hold now for 120 days. Even if you're not 100% certain you'll be ready in that time frame.
Call me today!
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