Seattle Real Estate Mortgage Rates Today 12/6/11
Seattle Real Estate Mortgage Rates Today 12/6/11: What will happen to Europe? That is what the entire financial market it wating for. BORING it has been the ongoing saga for months. Where this gets very interesting is how it is impacting he Safe Haven trade in the U.S.. Historically Mortgage Rates have worsened after Thanksgiving, however this year is a different story, Mortgage Rates are steadily holding at current levels. National averages are 4.125 still at historical low levels.
The question we are frequently asked is if Mortgage Rates will go lower? There is brewing story in China that they are now on the bubble. Can you imagine what would happen? Though the U.S. has still its own financial problems to work through, investors would flood into the U.S. Safe Haven if China does show signs of weakness. Why? Investors will not turn to Europe, nor to Japan, but turning to the United States. As we have seen in the past when uncertainty strikes the U.S. Safe Haven benefits and Mortgage Rates reap the incoming funds. Pressuring rates lower as yields fall.
This is what is setting up to be the “Push Lower”….. WAIT there is also the Federal Reserve. Wall Street is still rumoring that the Feds will begin to purchase Mortgage Backed Securities in the tune of a HALF a TRILLION! Beginning in the first quarter. This too will pressure Mortgage Rates lower. There are many indicators which are favoring home owners to refinance or purchase new homes.
Speaking of purchasing new homes and the bottom of the real estate market….. aside from national numbers, looking at the local real estate market one of the key calculations is coming to play. In many neighborhoods of King County you can purchase a home with 20% down and the monthly payment would be less than it would be to rent the same home. This calculation has been used by many to predict the timing of the bottom. Though this is a highly arguable point, one thing is for certain, MORTGAGE RATES will not be this low once the Real Estate market begins its recovery and move higher. Here again creating prime opportunity to finance and buy a the lowest historical period. Arguable yes, but the numbers are attractive when breaking the rent vs. buy scenario.
Timing is everything just as location of the home is critical. Timing in securing an interest rate, BEST rate, is working with a mortgage professional who has their pulse on the market and when best to advise and educate their clients when timing is right. Along with this key knowledge is to be on top of all of the lending and underwriting changes which seem to almost happen daily. We at the Mortgage Reel are Licensed Washington Loan Originators, serving clients with transparency, knowledge and most importantly keeping your goals in mind. How can we assist you today?
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