ShareStory Idea – What do rising interest rates mean for consumers?
Mortgage rates are currently sitting at their highest level in two years, with 30-year fixed-rate mortgages averaging 4.32 percent and 15-year mortgages averaging 3.55 percent. Rising mortgage rates continue to be a concern when it comes to home sales and affordability; however, rising rates tend to indicate a strong economy – and strong economies are good for housing.
Interest rates are still historically low, compared to 6.14 percent for a 30-year mortgage in December 2006. Consumers looking to buy should consider taking the leap as there is still plenty of room for rates to rise.
Story Springboard:
Talk with mortgage lenders in your area about what buyers can expect in the coming months. Speak with a REALTOR® about what they are hearing from buyers about rates. Also, speak with some new homeowners about any financing issues or struggles they experienced during the buying process.