Mortgage interest rates hit the highest level since 2009. Do you think you can buy a house fast before rates will go even higher? In today’s market you can sell your house fast and we both know that. The question is what next? Can you afford a new house? Let’s take a look at what is happening in the real estate market after rates are higher.
The 30 year mortgage hit 5.27 in the first week of may according to the Freddie Mac recent data. When you compare that with 3.5% like last year, this will cost you extra $400 if you buy a $500 000 house. This is a dramatic increase and at the same time the pool of buyers gets smaller. A lot of home buyers do not qualify for a loan or simply cannot afford to pay more.
Housing market feels the effect of rising interest rates. Recent housing market data has shown the massive effect. Affordability is a challenge with rising rates. Home listings remain few and far between and it looks like home prices will continue to grow but at a slower pace. Interest rates could slow the supply of homes for sale. Homeowners who have mortgages on lower rates are not feeling like selling now.
If you are looking to sell your house fast give us a call 847 242 2212 or send us an email Info@moderntimeshomes.com