Prior to this week, mortgage interest rates had been volatile and upwardly bound. They hadn’t reached 5 percent yet, but they were reaching for it. They’re now at one of the lowest points all year. This is great news! Interest rates are in the 4.5 percent range and you shouldn’t expect them to get better, because 4.5 percent is better. No, it’s great. It’s a ridiculously low interest rate for buying a home.
More good news, more sellers are putting their homes on the market. Inventory has been on a slow and steady rise for months. There are more choices. Why not go shopping and see the new listings in your market? It’s a great time to buy.
Want more good news? New lending guidelines went into effect Monday. Credit standards for qualifying is going to be easier because expectation levels for banks just got relaxed. This will translate into an easier qualifying process for you. There will be faster turnaround times on loan processing and buyers with a previous financial event won’t necessarily be looked at so harshly anymore.
Not all banks will want to participate in the changes, and so in some cases, the ease of obtaining a mortgage loan may not be evident at your particular institution. But check around because lots of banks are ready for these changes. Contact me if you need a recommendation. I’m happy to give you a couple of names of trusted loan officers working for local, established lending institutions.