Hey everyone, Patrick here with some exciting insights for all you homeowners out there! I know a lot of you have been on the fence about selling your homes, worried that those pesky high mortgage rates would dampen your plans. But guess what? There’s a light at the end of the tunnel!
Remember last October when mortgage rates hit a whopping 7.79%? Well, they’ve been on a downward slope since then. In fact, they’ve been consistently below 7% for over a month now. While we’re not seeing the super low 3% rates of the past, experts like Dean Baker from the Center for Economic Research suggest:
“It also appears that mortgage rates are now falling again. They will almost certainly not fall to pandemic lows, although we may soon see rates under 6.0 percent, which would be low by pre-Great Recession standards.”
So, why is this downward trend such fantastic news? Let me break it down for you:
Say Goodbye to Feeling Locked-In: With rates dropping, the gap between your current mortgage rate and what you might get now is shrinking. This change makes the idea of moving to a new place more appealing and financially manageable than it was just a few months back. Lance Lambert from ResiClub explains:
“We might be at peak “lock-in effect.” Some move-up or lifestyle sellers might be coming to terms with the fact 3% and 4% mortgage rates aren’t returning anytime soon.”
Hello, Buyers: High mortgage rates were a major hurdle for buyers, but with rates easing up, we’re likely to see more folks jumping back into the market. This means more demand for homes like yours, making it a great time to consider selling.
Bottom Line: If you’ve been holding back on selling your home because of high mortgage rates or worries about buyer availability, this recent shift might be your cue to make a move. And hey, when you’re ready, reach out to a trusted real estate agent to get the ball rolling.