Although they have had occasional brief upward spikes, mortgage rates have been falling throughout 2019, looking at monthly averages.
To illustrate this, let’s look at the monthly average rates for 30 year home loans since the beginning of the year:
January – 4.46%
February – 4.37%
March – 4.27%
April – 4.14%
May – 4.07%
June – 3.80%
July – 3.77%
August – 3.62%
September – 3.61%
(Source – freddiemac.com – Monthly Average Commitment Rate And Points On 30-Year Fixed-Rate Mortgages Since 1971)
This is having some significant impacts and Forbes.com recently reported that 46% of loans Freddie Mac has purchased this year have come from first time buyers – the highest such figure for two decades!
It’s an incredibly important statistic, because a busy entry level sector facilitates sales throughout the rest of the home buying chain.
Therefore it isn’t surprising that low inventory continues to be a feature of our local real estate market, as buyers take the opportunity to lock in the very low rates currently available to them.
This creates a tremendous fall selling environment, with all the usual extra motivations for buying a home as year end approaches, including being in new surroundings for the holidays, closing before the New Year for tax reasons, and job relocation.
Buyers are always in a positive state of mind as the holidays approach, arguably even more so this year with low mortgage rates as an extra incentive!
Of course the situation can change and there are never any guarantees that low rates will continue, so why not talk with us today at 928-445-2100 and make the most of a fantastic selling opportunity at the moment.