Mortgage Interest Rates Have Never Been Lower -- Get Out Your Calculator!

I had heard from several of my clients this week that interest rates were VERY low --- but I didn't know they were the lowest EVER!  Current rates are the lowest on record, according to BankRate.com and others. 

Of note, I two of my clients locked in this week at 4.375% and 4.5% --- wow!

How do these incredibly low interest rates affect you?

• If you have an interest rate above 5.5%, it might be worthwhile considering a refinance.
• If you are buying anytime in the next six months, now may be a considerably more favorable time to buy rather than later.

Let's examine how an increase in rates (as compared to a current 4.5% rate) would affect a monthly payment. 



Put another way --- if you were buying a new townhome this week, could it be helpful to have an extra $1,600 in your pocket?  Or an extra $2,700 in your pocket?  Buying now, with low rates, can save you that much (annually) as compared to your costs if rates start to increase.