Although interest rates are still very low by historical standards, they are on the rise. The Mortgage Bankers Association, the National Association of Realtors and Freddis Mac/Fannie Mae all predict 30-year fixed mortgage rates will rise to 5 percent in 2014, almost 1 percent higher than the rates today. You may want to take advantage of the excellent rates that are available now.
However, if you are not in the position to purchase today – you will want to ensure you are in the best position financially when rates increase. The difference of one point on a 30-year fixed loan with a purchase price of $300,000 can amount to over $51,000 in additional interest payments over the life of the loan.
With that said, Holly Schuler with Gracy Title sent on this great reminder (see below) about what credit is, the importance of credit scores and how to tackle improving it in order to secure the best rate possible.
Cheers and I hope everyone is either enjoying their Spring Break or just enjoying the fact that we get more sunshine in our day!