The Housing Market in LBI is giving sellers the upper hand. LBI families and citizens across the country, 2020, will undoubtedly be one to remember, with new realities and norms that changed the
2014 Mortgage Rate Swings May Impact Home Buying
Dated: 02/28/2015
Views: 1113
In 2013, increased mortgage rates resulted in decreased home sales, as shown in the graph left. This trend could continue in 2014, especially if there is a significant increase in mortgage rates.
Although mortgage rates are still at historic lows, Freddie Mac recently posted 30-year fixed rates around 4.48%, the highest rate since September 2013. This is interesting, given that the Fed assured us late in 2013 that it intends to continue its bond-buying stimulus program. The September 2013 spike in interest rates corresponded with speculation/indications that the Fed would taper the stimulus program.
Additionally, the interest rate for 10 year U.S. Treasuries has climbed up to 3%. In the past, the 3% threshold has signaled higher mortgage rates ahead.
These mixed signals leave mortgage consumers unable to anticipate where interest rates are going. We could see more rate swings in 2014 like those illustrated by the blue 2013 line at left. If this is the case, sellers should expect decreased demand as interest rates climb.
Read the Original Wall Street Journal Article Here: Mortgage Rate Swings May Mean “Bumpy” 2014 Housing Market
For more information on Real Estate at the Jersey Shore:
TEXT or CALL me at 732-887-4689 or visit rpileggi.vandykrealestate.com.
Robert Pileggi
I grew up in Union County and moved to Long Beach Island in 2003. I loved living here so much that I got my real estate license in 2004 and have since helped many other people enjoy living and vacati....
Latest Blog Posts
A great dessert for cooler September evenings.Ingredients: 8 baking apples, such as Golden Delicious, cored 4 tablespoons unsalted butter 1 cup dry white Rioja wine, such as Plácet
The New Jersey state Senate recently passed legislation sponsored by Assemblyman Brian E. Rumpf, Assembly 9th District's Senator Chris J. Connors and Assemblywomen DiAnne C. Gove. The
Coronavirus has affected all walks of life over the past five months, from those who have suffered the fear, the deaths, and the fall in many markets. Despite the unfortunate circumstances that we
© BRIGHT, All Rights Reserved
© 2020 Jersey Shore MLS. All rights reserved. Information deemed to be reliable but not guaranteed. The data relating to real estate for sale on this website comes from Jersey Shore MLS and the Broker Reciprocity Program.sm. Real estate listings held by brokerage firms other than Van Dyk Group Company are marked with the BR logo and detailed information about them includes the name of the listing brokers. Listing broker has attempted to offer accurate data, but buyers are advised to confirm
