As a prospective home buyer, news about mortgages and how you can raise money to buy your new home should be important to you; do your homework well. Buying a new home is a huge financial decision. It pays to do some research on mortgage rates in Ogden before you take the plunge. Wasatch Peaks Credit Union shares some insight on what’s happening in the world of mortgage rates.
Mortgage rates are currently well below the average levels seen at the end of 2015. This is good news for home buyers who are planning to take out a mortgage in order to buy a home. The rate hovered around the 4% mark towards the end of 2015. But this week, at the beginning of the spring home-buying season, it is 3.68% for a 30 year fixed rate mortgage (FRM). The figures for a 15 year FRM are at 2.96%, this week. This is again below the yearly average of 3.10%, for 2015.
Meanwhile, a 5-year adjustable rate mortgage (ARM) is at 2.92%, this week. The ARM figures for the month of March last year were 3.01%. So, the figures are at a low compared to the figures last year and this is good news for you, if you’re planning to buy a home this spring. Do a little homework by researching mortgage rates in Ogden before you take any other steps.
What does a rising mortgage rate mean for you, as a home buyer?
The higher the mortgage rate, the more you will pay for borrowing and for homes. In other words, an increasing mortgage rate affects the cost of loans and drives the prices of homes up. And when the rates fall, you will pay less to borrow and you will be able to spend more.
Given the fact that rates are now much cheaper than they were a decade ago, this might just be the right time to buy that home you have always dreamt of.