I’ll Get a Mortgage Loan When The Rates Go Back Down
By Dave Porter
The Coronavirus pandemic facilitated the historic low rates we experienced in 2020 and 2021. The factors that pushed the rates down are not present now. The Federal Reserve pushed rates down artificially to help offset the economic downturn and in uncertain times, investors often focus on Mortgage-Backed Securities when the economy is fragile. The combination resulted in very low rates. The lowest ever recorded. The Fed is dealing with the inflation ramifications now, and we are seeing rates rise.
In 1991 I remember rates going from double digits to single digit! Open the champagne!
Folks, please don’t wait to buy. What you will lose in appreciation gains will not make up for a “maybe lower rate.” Look at the chart below from Freddie Mac. In the big picture, rates are still great. Grab it while you can. Don’t like talk of 6% rates? You really won’t like it when we start looking at 8%!
Let’s look at options. Give me a call.
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