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Mortgage Rates On The Rise In 2015 – Tips For Real Estate Consumers In MA

Mortgage rates have increased this year. According to many experts, it is likely to rise further during 2015. This is important news for prospective buyers. Mortgage rates on the rise in 2015 and tips for real estate consumers in MA is provided in this article.

Affect of Mortgage Rates On The Rise In 2015

The calculation of your recurring payments are a result of the mortgage rate. A change in mortgage rates will reduce your approval amount or make the mortgage payment higher for the same house. Even a small surge can create a difference. If you are searching for a property at the higher end of the price range, a tiny change could really affect you.

The following is an example of how pre-approvals may alter with mortgage rates. This assumes a set down payment percent and keeping the same mortgage payment.

Mortgage Rate Price Max
4.00% $449,773
4.25% $436,494
4.50% $423,791
4.75% $411,636
5.00% $400,000

Additional Market Changes to Consider

Other than mortgage rates, real estate prices may also move. In many regions, home prices have been increasing progressively for more than a year. Certain markets are seeing bidding wars and offer prices above list. A lot of this is a result of low listing volume and high demand.

Tips For Real Estate Consumers In MA When Determining Whether to Buy Now or Wait

Inclining mortgage rates and home prices both have a negative effect on home buyers. People will notice that they can afford less and less over time. The condition of homes within price point will diminish too. Considering this, it is seemingly best to act now rather than waiting.

What to Anticipate During the Spring

Spring is usually the busiest time of year for real estate. There will be more houses for sale to satisfy the built up demand, but be ready for competition. Home buyers electing to act will benefit from still somewhat low mortgage rates. Additional increases in property values will offer a chance to gain equity in a shorter period of time than usual.

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About Chris Graves

I grew up in Massachusetts, spent the majority of my young adult life in Boston, and own a home in Windham NH. I have owned properties in MA and NH. I specialize in mortgage lending in Massachusetts and New Hampshire and my company does have the ability to lend in other states. I graduated from the University of Massachusetts in Amherst Massachusetts in 2002. I have a Bachelor’s in Science. In addition to managing a team of loan officers my personal loan production is always in the top of the entire of company. I have personally been in the mortgage business for over 13 years. I pride myself with taking my clients from application to close in the smoothest and quickest way possible, while keeping them well informed during the entire process. I originate my own loans from start to finish and work hand in hand with my loan processors & underwriters to make sure I am updated to the minute with all of my files. I stay up to date with lending guidelines and speak with underwriters on a daily basis to ensure I am aware of all of the lending guidelines in place.

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