Don't Let Rising Rates Derail Your Homebuying Plans
on Wednesday, July 6, 2022
Inflation is surging at its highest level in 40 years, and mortgage rates have already risen by roughly 2% since the beginning of this year. The Federal Reserve recently hiked interest rates by a whopping 75 basis points, and more increases are on the way. Combined with record-high home prices, many homebuyers are starting to feel like their dream home is out of reach.
While news like this can feel discouraging, it’s important not to panic. Our Mortgage Bankers are here to help you navigate these changes and provide home loan solutions that allow you to achieve your goals.
For many homebuyers, choosing an adjustable-rate mortgage (ARM) could be the answer.
ARMs typically have lower interest rates than fixed-rate loans, providing a more affordable option up front. After the initial term, the rate on the ARM loan can reset up or down to reflect current market rates. With the lower initial rate, you may be able to afford more house than with a fixed-rate loan, allowing you to get the home you want at a price you can afford.
Talk to a Mortgage Banker today about how to make a homebuying dream happen in this market!