Welcome back everyone, for another visit with The Mortgage Doctor. Today let's talk about a big topic in the news: interest rates. They are rising, and today we're going to let you know what you can expect from them in the near future.
We have seen an increase in rates over the last 30-60 days that is likely to continue. The Federal Reserve has said they are going to increase the prime rate, which can have an effect on interest rates. However, this effect is purely emotional. Mortgage rates are actually driven by mortgage bonds, which are based on complicated factors in the stock and equity markets. It's too complicated to get into now, but just remember that the Federal Reserve isn't responsible for a rise in interest rates, and they won't go up immediately.
If you have any questions for me about interest rates and where they are going, give me a call or send me an email. Set an appointment with The Mortgage Doctor today!
Today I'd like to speak about consolidating debt. Some of my clients have asked whether or not they could use the equity in their homes to give themselves some breathing room in regards to their debts. There are a lot of different circumstances under which someone would want to do this, and owning a home is a great way to manipulate your cash flow. This is especially true in the low interest rate environment.
You really need to look at your home in the same way as a business owner. If you can increase your cash flow and reduce your expenses, you can restructure your life. If you're interested in doing something like this, then please give me a call and I'd be glad to give you a thorough analysis and consultation, all at no cost to you.
We're currently seeing a hot seller's market in Omaha. People are bidding on homes with multiple offers, and it's important for you to realize that if you're buying a home, the competition will be fierce.
One way to separate yourself from other buyers in Omaha is to become pre-approved for a mortgage loan. Most sellers won't even give your offer a second thought if they see you're not pre-approved.
Secondly, mortgage rates are set to increase this year, so your buying power will take a hit ifyou wait to buy a home. Rates are set to increase by at least 1% by the end of the year. Every day that you wait, it could be costing you thousands of dollars in mortgage payments. Now is the time to lock in a low interest rate! If you need help getting approved for a mortgage, please don't hesitate to contact me. I would be glad to provide you with some advice on how to lock in a low rate.
