Last year at this time the average interest rate was 5.97%. And for the first time since 1991 the 15 year fixed rate was 4.29%. This is down from 4.32% last week. Rates also dropped for five year fixed rate mortgage loans.
Because of the Federal Reserves $1.5 trillion to buy mortgage-backed securities and make lending more available the rates have come down. Economists say that when mortgage interest rates drop below 5% is when we see the real estate market pick up. This recent lowering of the rates can't do anything but help the real estate market rebound.
Between low mortgage rates and the tax credits right now prices have begun to stabilize throughout the country.
If you are interested in taking advantage of these low interest rates and/or the tax credits being offered to home buyers right now please contact us! We would love to help you find what you need or find a realtor that can help you!
