I'm really concerned that those who've taken advantage of the super low rates in the last few years won't tolerate anything much higher. Even I'm getting to where I say that 5.5% is high. How did this happen? I'm pretty middle aged and I thought a rate under 7.5% was just like getting money for free 10+ years ago!
- Since the rates shot up half a point the end of last week, more than a few of my current buyers have blinked!
- Should they wait until the market "settles down"? Or should they take the rate as it is right now before it goes up any higher?
- A few lenders around here are telling their jittery customers to just hang on and give the market a little time to settle down. Is that a fair thing to say? How would they know? Did they know the rate was gonna jump a half point the end of last week?
Apparently the mortgage industry has a big competitor for money right now---the fed! Nothing we do to prop up the markets in our country is free! I think we've been charmed into the idea that there is a pot of gold around every corner, so don't worry, be happy!
If a home is in your future, or a move is in your future, price the home and mortgage rate with a little wiggle room so that you can get what you need, and some of what you want.
Will these rates last for years to come? Who knows?
