While mortgage interest rates are still hovering near all-time lows, this week did show a very slight increase up to 3.52% for a 30 year fixed rate mortgage. While mortgage rates are not going to jump 5% overnight, this could be a sign that mortgage interest rates may start to increase. Now is the time to buy, don’t find yourself renting another year missing out on these historically low interest rates.
Speaking of rentals, rental rates are steadily increasing. All across the state rental prices are going up. Because of the shrinking inventory of homes to buy and rent, we are finding ourselves with more people looking for a place to live than we have people trying to sell or rent there current residence out. Investors have taken note, and it won’t be long before builders are jam packed building new construction homes and apartment complexes. This can be a dangerous game as overbuilding is a serious possibility. For now, expect a steady increase in rental rate across the state, especially places like the Dr Phillips Real Estate market where homes are in high demand.
Oh yea, and one more thing, not only do you have to compete with local buyers, foreign buyers are back too! Raising the competition in the home buying scene. That’s all for today folks. TGIF!