Where Are Interest Rates Headed This Year
With interest rates still below 4%, many buyers may be on the fence as to whether to act now and purchase a new home, or wait until next year. Now is an incredible to time to buy your dream home in Sarasota or Lakewood Ranch. Even if you were thinking of purchasing a second/vacation home. The cost of money will be increasing over the next few years. Your purchasing power is great right now and we may never see rates like this again.
If you look at what the four major reporting agencies are predicting for 2016, it may make the decision for you. The chart below averages the predictions by quarter.
With the exception of Fannie Mae, the experts agree that interest rates will increase by three-quarters of a percentage point, costing you more to pay back your loan.
Even a small increase in interest rates can put a dent in your family’s wealth.