5. You’ll get a better home.
As interest rates trend up, buyers should realize that mortgage interest rates will have a more significant impact on their monthly budget than waiting to see if house prices fall even further.
Rents will continue to increase in 2012. Why? Demand and the lack of supply.
6. It offers some inflation protection.
Unlike credit cards with varying interest rates, buying a home with a fixed rate mortgage establishes a set mortgage payment for the next 30-yrs. In the late ‘70’s, mortgage interest rates were as high as 18%. Most buyers opted for a variable rate mortgage and refinanced continuously as the interest rates lowered to the more traditional level of 8%. It is safe to assume that interest rates will again reach the “norm” since a 4.00% mortgage interest rate is unprecedented. Inflation is already here!!
Rents will continue to increase in 2012.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment