Whether you are thinking of buying or selling a home in Durham, the current mortgage rates affect you. Why? Because a rise in interest rates will make it harder for buyers to afford your home!
With all of the talk about Ben Bernanke (Fed Chief) leaving the office, and the tapering of the Fed policy to buy mortgages by the end of the year - the Mortgage Bond Market is nervous.
Mortgage rates, previously at record lows, are consistently trending upwards. We've had over a 1.375% rise in mortgage rates since the beginning of June.
Don't get me wrong - mortgage interest rates are still remarkably low! Mortgage rates under 5%? That's a BARGAIN!
However, especially for homes in the "First Time Home Buyer" price range - mortgage interest rates are an important factor when calculating when the right time to sell is - to get the best price.
For some first time home buyers, even as little as a 1% increase in rates will decrease a buyer's buying power by over 10%! Why does this affect a home owner considering the sale of their home? Well, a buyer at today's rate may be able to afford your home now. If you wait too long, however, you are eliminating that same buyer (and countless other qualified buyers) from being able to afford your home!
The August 2013 Durham County report shows continued housing market strength - with increasing closed sales and reduced inventory of homes for sale.
Think about it, but don't think too long -- now is the time to sell - and if you're buying a home in Durham NC, it's time to get that process going! Check out the homes currently for sale in Durham, and then send us a message online or call Larry Tollen at (919) 659-5173.
Posted by Larry Tollen on
Leave A Comment