May 31, 2013

Interest rates are on the decline again with support coming from the recent rise in mortgage bonds, and declines in the stock market.

During the first few days of May, we can anticipate some important policy directives coming from the Fed. The Fed always tends to influence the markets one way or another, and it's anticipated that the Fed will continue to buy large quantities of mortgage bonds to help our slowing economy. This will also help to keep interest rates low.

Also to be released in the days to come are unemployment numbers. Experts are predicting that these forthcoming unemployment numbers will decline (considerably), which will put even greater pressure on interest rates to remain low.

There isn't much information available right now to suggest that mortgage interest rates will rise anytime soon. Bbut, be careful out there.

Till next month,

Interest Rates As Of May 1, 2013

6-month trends graph - as of May 1st, 2013

Interest Rate Advice

Although there's a lot of reasons for interest rates to remain stable throughout this calendar year, the long term expectation is for interest rates to rise. Don't take these low rates for granted. If you're financing a home right now, my best advice is to "lock-in" these low rates, rather than gamble that they'll be lower as you get closer to your closing date. Better be safe, than sorry!

If you're in the market for a home this year, allow us to help you find the right lender and loan program, and help you take advantage of these great low interest rates. Today’s interest rates are quite a bargain!