There is good news and bad news! The good news, interest rates are going up. The bad news, interest rates are going up. Why are climbing interest rates good news? I am thoroughly convinced that buyers naturally hesitate to do anything as long as interest rates are fluctuating from good to great.
Hence the reason for the fence.
Buyers like to sit on the fence not quite sure if they should buy or wait for the interest rates to drop even lower than great. Even with the super low interest rates of below 5% plus the $8,000.00 first time buyer tax credit, buyers will still take their time and usually wait just a little too long.
I notice when interest rates begin to climb buyers get scared or smart and will jump off the fence and buy a house. That is why climbing interest rates are good news.
The bad news...well, I don't know if there is any bad news. Unless the interest rates climb much higher than 6% - 7%. My opinion is anything below 8% is a good interest rate. Therefore we have been experiencing really great rates. Maybe now it is time to get back to reality. If interest rates climb a little and encourage buyers to jump on the still good rates and buy a house our economy will get better. It will be good for the buyers and good for the sellers.
God Bless You and pray for all of our troops to come home safe and for our Country leaders to make the right choices to help us get through this turmoil.
Did you know I have my license in both states, Ohio & Kentucky?...So Please call me if you need help around the house or maybe to buy a new home. I will gladly say THANK YOU! Gary Rossignol, the Realtor with integrity. 513-777-2402 email Gary@GaryRossignol.com.
Also, My Video Newsletter is loaded with up to date Real Estate News and Advice. Some of its features include: Current Interest Rates, National Real Estate News, Mortgage Advice, Question & Answers. Plus much more. It is "real time" and changes each week.
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