Individuals are strongly encouraged to apply for a home loan now at least to lock in a rate close to 4%.
Chicago, IL (PRWEB) May 20, 2015
Lenders like People Home Equity watched as mortgage rates adjusted higher today. MortgageNewsDaily.com highlighted the fact that rates are going higher in an article today titled “Mortgage Rates Begin Another Week Moving Higher.” The article continued with “The most prevalent conventional 30yr fixed quote remains 4.0% for top tier borrowers, with a few lenders still down at 3.875% and fewer still at 4.125%.”
Rates have risen for two consecutive weeks and Peoples Home Equity thinks the increase in the national rate signifies that demand is continuing to grow for properties. The National Association of Realtors would agree in a May 15th article relating to existing home sales saying that “Existing-home sales are expected to finish the year at their highest pace since 2006.”
Individuals are strongly encouraged to apply for a home loan now at least to lock in a rate close to 4%. The longer Americans wait to be approved for a mortgage, the more they risk both higher rates and higher listing prices in the future. Lawrence Yun, chief economist at the National Association of Realtors highlighted areas that are set for every rising demand by saying, “The demand for buying is especially strong in parts of the country where jobs gains and economic activity have outpaced the rest of the nation – particularly in states like Utah and Florida and cities such as Denver.” Readers should note that Europe is also influencing mortgage rates here America. Europe has implemented its own quantitative easing program which the Federal Reserve successfully implemented here in the US. The program is supposed to stimulate its countries’ economies. As those economies strengthen rates increased trade and commerce will be stimulated in the US. A stronger American economy will lead to higher mortgage rates. Thus, it’s important to also watch how well Europe is doing because it has a major effect on America’s economy and rates as well.
If in need of a mortgage, contact a Peoples Home Equity loan officer today at: 262-563-4026