5.13% mortgage sound too good to be true, well in this case it is true. While the average rate on a 30-year fixed mortgage stood at 2.86% a year, the current 5.13% (rates does change daily, Monday Friday) is a lot better than the June rate of 5.81% which was the highest rate since 2008. There is no denying that rates have jumped this year and will most likely continue to do so due to the Federal Reserves decision to increase rate to contain inflation. Lets take a brief look at five factors that affect mortgage rates. They include but not limited to:
Now, just in case you were wondering, it would stand to reason that the best time to get a fixed-rate home loan such as an FHA loan is when the Treasury yields are low. Not for or against it. You decide. Also, while deciding, remember, your credit scores does impact your mortgage rate as well. As always, thank you so much for reading. Until next time Diana
Source: US Department of The Treasury
Source Wall Street Journal Pro
Image Created and Design by Diana Walton for Astor & Eaton Realty