That’s right. Mortgage rates have hit the lowest point so far this year. What does that mean and how does that impact you and the market? Keep reading to get all the up-to-date-info.
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Back to rates…
This blog was inspired by a recent blog from our friends at Keeping Current Matters. All the juicy details and info is there 🙂
Rate Impact On Mortgages
Unless I am mistaken (and I realize not everyone obtains a mortgage), really rates drive everything–payments, the market, whatever.
So, if rates are falling (not below historic lows), just falling, and declining faster than expected–what does that do?
The answer is it gives buyers wiggle room to know their payments aren’t as high as before–that’s it. If you know your mortgage payment is going to be $100 less that could be a massive difference/factor.
Rate Impact on The Market
So then if more people might be open to buying a home, that means there is more demand. More demand eases up rising supply…if that demand turns into contracts and sales.
Does that mean home prices go up? Not ready to say that. Could it ease up homesellers paying as many Buyer’s closing costs? Yes. Could that mean more multiple offers? YES!
What’s Next For The North Phoenix Real Estate Market?
I mean it’s way too early to tell. By all measures, Phoenix real estate as a whole is on a decline, despite declining rates. So, we will see what the longer short term impact is. Buyers could also be fatigued by waiting. Sellers could be more motivated…or less. Who knows?
I think what it always comes down to is-if you are able to buy, and find a home you love, find a way to make it work. If you buy with a higher rate, you will get incentives you might not receive if you wait till they drop. If you buy a home in North Phoenix when rates are super low, you might pay more for a home price. Just buy when you are ready. Don’t wait on external factors.
And remember whenever you are ready to buy a home in North Phoenix, and are wanting a Realtor in North Phoenix with 25+ years experience, call Blair Ballin at 480-233-6433. There is no one better 🙂
Blair