Mortgage Rates Drop to Lowest Level in over a Year and a Half
Mike Doyle September 18, 2024
Mike Doyle September 18, 2024
Mortgage rates have hit their lowest point in over a year and a half. And that’s big news if you’ve been sitting on the homebuying sidelines waiting for this moment.
Even a small decline in rates could help you get a better monthly payment than you would expect on your next home. And the drop that’s happened recently isn’t small. As Sam Khater, Chief Economist at Freddie Mac, says:
“Mortgage rates have fallen more than half a percent . . . and are at their lowest level since February 2023.”
But if you want to see it to really believe it, here’s how the math shakes out. Take a closer look at the impact on your monthly payment.
The chart below shows what a monthly payment (principal and interest) would look like on a $400K home loan if you purchased a house back in April (this year’s mortgage rate high), versus what it could look like if you buy a home now (see below):
Going from 7.5% just a few months ago to the low 6s has a big impact on your bottom line. In just a few months’ time, the anticipated monthly payment on a $400K loan has come down by over $370. That’s hundreds of dollars less per month.
With the recent drop in mortgage rates, the purchasing power you have right now is better than it’s been in almost two years. Let’s talk about your options and how you can make the most of this moment you’ve been waiting for.
Stay up to date on the latest real estate trends.
Have you been wondering whether you should keep renting or finally make the leap into homeownership?
In a recent survey, the National Association of Realtors (NAR) asked sellers what they want most from a real estate agent. The number one answer was to help market the… Read more
Let’s face it — buying a home can feel like a challenge with today’s mortgage rates. You might even be thinking, “Should I just wait until spring when more homes hit t… Read more
It’s every landlord’s worst nightmare: a fire leaving your home in cinders without having the insurance to cover the loss.
Have you ever stopped to think about how much wealth you’ve built up just from being a homeowner? As home values rise, so does your net worth. And, if you’ve been in y… Read more
Getting into short-term rentals (STRs) is exciting. You imagine guests falling in love with your space, five-star reviews rolling in, and a steady cash flow boosting y… Read more
If cash flow were already on its knees because of increased interest rates, soaring homeowners insurance premiums have been the real death blow.
You may be wondering if home prices are going to crash.
For expert real estate services, reach out to Mike Doyle. Whether you're buying, selling, or renting, navigate the process with confidence. Contact him today to ensure a smooth and informed real estate journey.