|
Will mortgage rates continue to be low in 2011?” is a question many Americans are asking themselves this new year. The housing market has been in shambles in the past few years, with a gluten of homes available for purchase. The current bank rates for a 30 year fixed mortgage are resting just above 4% at 4.25% interest. This is where it is predicted to stay with very little change. The federal government and the banking system do not want to see interest rates rise too rapidly because of the adverse effects it will have on the housing industry. This sector of business is still fragile and any raise in interest might just make if stumble down again. While no one can see into the future, most economists predict that the 30 year fixed mortgage will remain below 5% for the entire year of 2011. The 5/1 ARM is expected to stay below 4% for the year 2011 also. These are the two most popular types of mortgages that the American consumer uses to purchase the American dream of owning a home. The unemployment rate has a contributing factor to the interest rates. With the national average staying at 9% or more, the housing market is a buyer’s market which will require that interest rates stay low or this sector of the economy will not function as intended. This all can change with the employment report due out today, but its biggest influence is to be on the closing costs of purchasing a home which is now expected to rise. When you decide to purchase a home, you need to look at more than just the APR and the interest. Closing costs, points and fees are also contributors to a bad financial decision when buying a home. Remember to look at the overall picture and know what the different factors are in this critical decision. The answer to”will mortgage rates continue to be low in 2011” is yes. What you do with these low rates is a personal decision you must now make. For additional resources involving financial help, please view PNC Online Banking, best bank savings rates, Westpac Online Banking, Sovereign Bank Online and Online Banks at http://www.onlinebanksblog.com/union-online-banking
Related Articles -
high interest cd rates, CD Rates, chase cd rates, online banking, savings account rates, cd rates interest, banks cd rates, citibank online banking,
| 
