John's Florida Real Estate Blog

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Mortgage Interest Rates Continue Slow Upward Climb says Freddie Mac

Up Arrow - JTE Today, 4/14/2011,  Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 4.91%, up from 4.87% a week ago. The average interest rate for 15 year fixed-rate mortgages was 4.13%, up from 4.10% last week. A year ago the 30 year rate was 5.07%. . 

Though rates have moved slightly higher over the past several weeks, they are still below the 5% mark. That is a good thing. The slow movement this week was a result of few, if any, economic reports being released over the past few days. This keeps the affordability of homes more within the reach of a larger section of the population. Reports also show that for the 9th straight month consumer spending was up. This could be an indicator that people are less worried about their economic situation and are now more likely to open the purse strings and spend. And spending helps fuel the recovery according to Freddie Mac. I sure hope so.

The Federal Reserve is also reporting that "consumer spending picked up modestly in February and March across most districts." It also said that those reports that looked at the short-term were frequently more positive than in the past. Perhaps another good sign. Let's take all of those that we can.

Here in Zephyrhills, the pace is still fairly busy. I am working with several buyers right now who are in the middle of buying homes. Several are purchasing foreclosed homes and getting some GREAT deals. 

Entrance Best Most of our winter residents have left or are in the process of returning to the northern homes. But now the full-time residents will be looking at the bargains that can be found. Imagine a 4 bedroom/3 bath/2 car garage home built in just 2006 that sold in that year for $250,000 now selling for $110,000! And the bank-owner (it was a foreclosure) painted the entire interior, put in new carpeting, and installed new appliances as well! It is located in Lake Bernadette, one of our nicest golf resorts. I just sold this home to some people from Wyoming whose parents will be living in the house. Talk about getting a bargain! And there are others out there.

So despite what is going on in other parts of the US, in Zephyrhills, good agents, like myself, are moving homes for their sellers and buyers! 

Do keep in mind that we are a very large country. So figures that come out for the entire nation, may have little or no relevance for your particular area. In the end, it is best if you speak with a local REALTOR or financing expert to see what the situation is for your part of the United States. Florida is not Michigan, nor is Maine the same as California. Market conditions can be very different from place-to-place. Also, your own credit history, the property you want to buy, etc. will effect your specific loan options and interest rates. Your mortgage broker or bank loan officer can give you more specific information.

If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.

If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.

I would also be happy to assist you in any way that I can. Just call John Elwell at CENTURY 21 Bill Nye Realty, Inc.: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com  You are also welcome at my webpage:  www.jelwell.century21bnr.com

John Elwell - REALTOR

CENTURY 21

Bill Nye Realty, Inc.

813-783-4444

Licensed in Florida

 

Comment balloon 0 commentsJohn Elwell • April 14 2011 11:57AM

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