As we move into 2023, many potential homebuyers are concerned about rising mortgage rates. After falling during the winter months, rates have started to increase in recent weeks, making some properties less affordable. If you’re thinking of buying a home this year, you may be wondering whether now is the right time to proceed or if you should wait for rates to fall again.
Inflation is Driving Rates
The recent rise in mortgage rates has been driven by inflation concerns. According to Joel Kan, Vice President and Deputy Chief Economist at the Mortgage Bankers Association (MBA), rates have increased due to market expectations that inflation will persist. This, in turn, requires the Federal Reserve to keep monetary policy restrictive for a longer time.
The latest weekly average 30-year fixed mortgage rate reported by Freddie Mac is 6.5%, putting them at the highest point they’ve been this year. This marks the third week in a row that rates have risen.
Don’t Delay Buying a Home
If you’re considering delaying your home search because of the increasing rates, you may want to reconsider. This could actually be an opportunity to purchase the home you’ve been searching for. The MBA reports that mortgage applications have declined by 13.3% in just one week, indicating that the rise in mortgage rates is causing some potential homebuyers to put their search on hold.
However, if you choose to stay the course, you’ll likely face less competition among other buyers when you’re looking for a home. This is a welcome relief in a market that has so few homes for sale.
Find People You Can Trust
The bottom line is that despite the recent rise in mortgage rates, you shouldn’t delay your plans to buy a home. In fact, it could mean the opposite if you want to take advantage of less buyer competition. If you’re interested in exploring the options in your local market, it’s a good idea to connect with a trusted real estate agent and a trusted mortgage lender to be part of your “home buying team”.
Orson Hill Realty
Real Estate Agents at Orson Hill Realty for Buying and Selling Your Home
Our real estate Agents and Brokers are all Realtors so you have a higher level of ethics and experience. Our staff is also Very Active in the Community – All Orson Hill Realty agents and brokers are local and love their community. We strive to keep our hands on the pulse of the community by being involved in every aspect of the area. We volunteer, have open houses, work at our schools and local sporting events. Don’t forget to visit or get listed on our local business directory! Have a piece of mind when you hire Orson Hill Realty Realtors. Know we will handle everything in your real estate transaction professionally and ethically. The broker/owner of Orson Hill Realty is also a Realtor in Southwest Florida. We would like the opportunity to win your business. Buyers and Listing Agents…
We Want to be Your Real Estate Agents…
Real estate agents understand the importance of an online presence and the best technology for our buyers as well as our sellers. For buyers our technology is important because in this fast paced real estate market you need to be notified immediately when a home becomes available on the MLS (Our multiple listing service) You can also do a very detailed home search through our portal that is updated multiple times a day to have the newest and freshest information on homes being listed, sold and going under contract. We also push all of our listings out to a huge amount of online sources, so that you can find your new home with ease!
