If you’re in the process of purchasing a home, it just might be time to lock in your mortgage rate. The average 30-year fixed loan decreased ten basis points this past week to 3.56%, the lowest rate in three years according to Forbes. A similar home loan was 4.0% this time a year ago.
Why did rates sink so unexpectedly? Industry experts speculate that Brexit is one of the primary reasons, as the UK’s vote to leave the European Union created even greater uncertainty regarding the global economy. Generally speaking, increased market volatility results in lower short-term mortgage rates, as investors seek safer investment opportunities like mortgage-backed securities.
Interested in learning more about qualifying for a mortgage? Send us an e-mail at theoffice@everyhome.com – we’d love to introduce you to a local, friendly, knowledgeable lender!