Where are Mortgage Rates Headed? This Winter? Next Year?

Winter-Rates

The interest rate you pay on your home mortgage has a direct impact on your monthly payment. The higher the rate the greater the payment will be. That is why it is important to look at where rates are headed when deciding to buy now or wait until next year.

Below is a chart created using Freddie Mac’s October 2015 U.S. Economic & Housing Marketing Outlook. As you can see interest rates are projected to increase steadily over the course of the next 12 months.

Mortgage-Projections-KCM

How Will This Impact Your Mortgage Payment?

Depending on the amount of the loan that you secure, a half of a percent (.5%) increase in interest rate can increase your monthly mortgage payment significantly.

According to CoreLogic’s latest Home Price Index, national home prices have appreciated 6.4% from this time last year and are predicted to be 4.7% higher next year.

If both the predictions of home price and interest rate increases become reality, families would wind up paying considerably more for their next home.

Bottom Line

Even a small increase in interest rate can impact your family’s wealth.

Call me to evaluate your ability to purchase your dream home. Don’t wait or hesitate – it’s time to get a move on! Linda Hutchinson 407-925-7721 Cell or Text

Small Chic Spaces

contemporary-apartment-kitchen-black-pendant-light-cococozy-elledecoration-2

Small spaces can be quite chic with the use of art, pendant lighting (or any great cohesive lighting) and a sense for design and detail. In fact, it’s all in the detail as you will see with this super cute small condo.

http://cococozy.com/2015/11/three-black-pendant-lights-one-small-apartment.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+cococozy%2FzOlp+%28COCOCOZY%29

Do You Really Think Your Landlord Pays for Repairs?

Do You Really Think Your Landlord Pays for Repairs? | Keeping Current Matters

recent article that appeared on Nasdaq.com addressed the issue of whether it is best to buy or rent in today’s real estate environment. The article was very fair in discussing both options.

However, there was one portion of the article that we questioned. One of the experts was quoted as saying:

“For some people, the choice is very clear: Buying a home can be more costly, given the cost of the purchase itself, plus taxes and insurance, plus maintenance and repairs.”

This argument is often made in defense of renting. However, we don’t believe it makes logical sense. They claim that, as a renter, you won’t have the expenses of “taxes and insurance, plus maintenance and repairs”. Do they really believe that the landlord pays all those expenses for their tenants?

The vast majority of landlords own rentable real estate as a form of investment. As any other investor would, they expect to make a return on that investment (ROI) – otherwise known as profit. In order to make a profit, the landlord needs to include EVERY expense they incur into the rent…AND THEN ADD A PROFIT MARGIN!!

We think it is incorrect to advise a prospective renter that they won’t have the same expenses that a homeowner would have. They just pay those expenses to a landlord with a “premium” built in.

Knock, knock…

 
A front door is like lipstick on a lady. It completes a home. When you want a quick change, think about your door. With pretty color or new style – you can instantly update your home’s esthetics and create an inviting look that screams “welcome home!” (Photo courtesy of My French Country Home)