The Stock market has gone down almost 2,000 points since the beginning of the year!
Almost all economic indicators are either down or flat.
There is a lot to be concerned about with this uncertain economy.
So why is this a great time to buy a home?
With all of the economic uncertainty lately, you might be tempted to wait before deciding to purchase a home. This could be a costly mistake. Interest rates are once again at another historic low. Nobody thought that we would have interest rates this low again, but they are. In fact, a conforming 30-year fixed mortgage, is currently 3.75%, and a jumbo loan is only slightly higher at 3.875%.
These extremely low rates will save you hundreds of dollars on your monthly payment and thousands over the life of the loan.
Interest rates like these are a true bargain they make the cost of owning a home much more affordable.
It’s a fact that has not escaped the notice of many savvy home buyers, as mortgage applications are up 9.3%, that means, you have competition.
The inventory for new homes on the market in Los Angeles is extremely low, so with more people trying to purchase a new home; it can be more than a little frustrating to say the least.
My advice is…don’t give up! These historic low rates are a direct result of the weakling U.S. and Global economy. They will not last forever, and just a slight increase in rates will cost you hundreds of dollars more a month on the same house at the same price.
Remember it’s all about your monthly payment.