Rising Interest Rates... Did You Know?
There’s no question, we are living in an environment of rising interest rates. But what does that actually mean? Many consumers start to worry about their buying power when they see the news reports of increasing rates. A Director of Economic Research at Realtor.com is even quoted recently as saying, “As we see rates rise this fall, we do see them taking on a bigger role in affordability and constricting buying power in certain markets.”
As your local lender for over 20 years and your trusted Mortgage Specialists for Life, we want to make sure you’re an educated buyer and are making decisions with facts, not with media hype. With that, we put together the accompanying infographic to show a sample mortgage at three different interests rates separated by 0.50%.
The take away? For every 0.25% in rate increase/decrease, your principle and interest payment only fluctuates by $61!
Hopefully that will bring a sigh of relief if you were targeting a home purchase or refinance in 2019 and the news at got you down!