Even with higher rates there is still a demand. People that have lower credit scores are most affected by the increasing mortgage rates, and may need to search for lower-priced homes.
Colorado Springs, CO (PRWEB) April 25, 2017
According to an April 5, 2017, CNBC article, “Why mortgages, other interest rates could go up faster than you think,” the Federal Reserve announced that it would begin to shrink its balance sheet. This could potentially cause higher interest rates for mortgages and other types of loans.
“Typically, people think that if interest rates go up that they can’t afford a home. However, higher interest rates are not affecting buying,” said Dominic Pucci, a Realtor at Nest Egg Realty. “Even with higher rates there is still a demand. People that have lower credit scores are most affected by the increasing mortgage rates, and may need to search for lower-priced homes."
The real problem, insists Pucci, is the low inventory in the Colorado Springs area that often times prices people out of their budget. “If you aren’t quick to hop on a home that you like, you might miss out,” added Pucci. “What is going to happen is the prices are going to increase because of supply and demand.”
Homeownership is still an investment, and it is still less expensive to buy in Colorado Springs than it is to rent. “Give yourself at least a 60-day cushion to prepare to buy a home,” concluded Pucci. “Newly constructed homes are going quick and appraisal turnaround times are getting faster. The value of homes is steadily increasing.”
About Dominic Pucci, Nest Egg Realty
Dominic Pucci has been working as a real estate agent for nearly 10 years, helping people find their dream homes. He remains fully dedicated throughout the entirety of his clients’ transactions, whether they are buyers or sellers. For more information, please call (719)749-6588, or visit https://www.zillow.com/profile/dominic0/#reviews. Nest Egg Realty is located at 4760 Flintridge Drive, Suite 100, Colorado Springs, CO 80918.
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