HUD Articles

Interest rates are set to rise.

What exactly does that mean for prospective home buyers?  This is an exceptionally hard time to forecast changes in the market due to the pandemic and its aftermath.  Heres what we do know.  the Fed announced that it would raise interest rates, and this may not be the only raise.  Will prices for homes fall then ?  Hard to say!  It will depend on the amount of homes on the market, for sure.  Lots of competition equals lower home prices.  But in the past couple of years people have saved more and valueliving in a comfortable spacious environment.  so some of that saved money could be used to create a bigger downpayment, and keep the mortgage cost within their price range.

People have learned to do without lots of things and if owning a home is very important then they will still be eager to buy. That means competition will probably still be robust.  the best thing a buyer can do is to work to improve their credit score, save money to add to a downpayment, and never get overextended.  Real estate is cyclical, this pattern will change over time, find a good mortgage company and a good realtor, and they will help get you on the right tract