Any person who can are eligible for the financing can get low cost loans for purchasing real estate, thanks to low mortgage interest rates. Rates for 30-year fixed, 15-year fixed and five-year adjustable mortgages are beginning to slip again after housing data indicates growth has stalled in real estate. However, many see doom and gloom on the horizon. Analysts think a double dip in housing is soon to occur.
Getting a house means a steal
The house loan market rates are going downward. The demand for houses has disappeared. The seriously low cost loans may be something qualified buyers are interested in. The market rate for arms is hitting all time lows, as a five-year adjustable rate mortgage, or ARM, recently fell to 3.72 percent from 3.80 percent, according to MSNBC. The five year ARMS have actually gone up from Feb. when they were at 3.23 percent. The average 30 year fixed mortgage rate hit a 40 year low of 4.17 percent in November. It went up to 4.87 percent now. The going rate for 15-year fixed mortgages is currently 4.15 percent.
Double dip feasible
CNN reports that the housing market may get a second period of recession soon. That doesn’t mean an individual will ever be able to buy a home by applying for a couple of payday loans, however it won’t be pleasant to look at the real estate industry to slip even further into the abyss. Case-Shiller Index co-founder Robert Schiller explained the prices of homes may be “falling another 15, 20 or 25 percent.”. Given that housing costs are near to the lowest amounts since the great housing crash of 2008, a double dip in real estate seems plausible. If it were to take place, it could mean further bad news for an already shaky economy. State budget issues would get worse if that is the case since property taxes are relied upon in several states for revenue.
Rentals wanted more than ever
The decision between leasing and getting has been something considered by everyone during this recession. Purchasing a home can pay off, provided that an individual buys when values are down and sells the house when values are up. When putting in a lot of equity or having paid off the mortgage, it’s even a better investment. The property tax and maintenance do not have to be paid when renting though. Granted renting means; having to part with more instant money each month than a homeowner.