Today, 1/31/2013 Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgage was 3.53% up from 3.42% last week. The average interest rate for 15 year fixed-rate mortgages was 2.81%, up from 2.71% last week. A year ago the 30 year rate was 3.87%.
If you remember, in months past I have pondered that it was curious how when the economy was doing badly interest rates dropped. And when things started to improve, rates went back up again. Well, this week that proved true once again. Freddie Mac's spokesperson said that rates continued to climb during the past week due to an improving US economy. This includes the housing market which is rebounding in many, many parts of the country. Here in Zephyrhills the activity is almost to frantic and many agents remark that they don't have the time to deal with all of the buyers and sellers that are now coming forward.
On a national level Freddie Mac reported that "new home sales totaled 367,000 in 2012, the most in three years and reflected the first annual increase in seven years." Pending home sales were the highest that they have been since 2006! And the House Price Index increased 5.5% over the 12 months ending with November 2012. That is the best performance since the summer of 2006. Not too shabby in my opinion!
So things are looking up overall and this has caused the interest rates to go up. However, keep in mind that they are still extremely low, historically speaking. So take advantage of them while you can. At some point, you will no longer be able to. And that day is approaching steadily.
Do keep in mind that we are a very large country, So figures that come out for the entire nation, may have little or no relevance for your particular area. In the end, it is best if you speak with a local REALTOR or financing expert to see what the situation is for your part of the United States. Florida is not Michigan, nor is Maine the same as California. Market conditions can be very different from place-to-place. Also, your own credit history, the property you want to buy, etc. will effect your specific loan options and interest rates. Your mortgage broker or bank loan officer can give you more specific information.
If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.
If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.
I would also be happy to assist you in any way that I can. Just call JOHN ELWELL - REALTOR at CENTURY 21 Bill Nye Realty, Inc. : 813-783-4444 or e-mail me at: [email protected] You are also welcome at my webpage: www.jelwell.century21bnr.com Licensed in Florida.