The Florida Home Mortgage Market has certainly changed a week after the Fed has wrapped up their purchasing of mortgage backed securities. In a weekly survey that came out from the Mortgage Bankers Association the 30 year fixed rate mortgage rose from 5.04% to 5.31%. Let me share with you what this means to Florida first time home buyers and sellers.
In a recent blog post I shared the rise of 1% interest rate per one hundred thousand dollars borrowed on a Florida home mortgage can result in a $30.00 increase per month. While this to an affluent person may not be a big deal, to a first time home buyer it is a big deal. Another fact that must be shared is the the amount that a Florida first time home buyer or any other buyer for that matter will obtain pre approval for. As interest rates rise you will see that obtaining pre approval for a Florida home mortgage and trying to buy a larger more expensive Florida home of your choice will become more difficult. You more than likely will become easily fustrated knowing that just a couple of weeks ago you could have been paying less for a bigger home. I don’t blame you.
Ladies and gentlemen, if you are considering a Florida home mortgage, today is the day to obtain the highest pre approval with the lowest interest rate for the purchase of a home.
Sellers, if you are considering selling your home, please understand that today is the day to attract buyers to your property because tomorrow they will not obtain a pre approval for it.
Feel free to email me or leave me a note if you have any questions or thoughts regarding obtaining a Florida home mortgage or how your purchasing power will be affected to due to a rising interest rate environment.