Happy first day of spring, home buyers! If you are in the market to buy, the real estate stars are aligning for you: mortgage rates are down and inventory is picking up.
Low mortgage rates
Today, rates are the lowest they have been since January 2018. The average 30-year-fixed-mortgage rate is down 10 basis points from a week ago, and the average 15-year fixed-mortgage rate is down 12 basis points. What does this mean for you? Lenders base your preapproval on what you can afford monthly. If the rate is lower, your estimated monthly payment decreases, which means you may be able to increase your budget. Or keep your budget the same and save!
You might be thinking, “so what? The rates are low today, but they can just change tomorrow.” Here is the good news! Just today, The Federal Reserve held its benchmark interest rate steady, and a majority of officials signaled they might not raise the rate at all this year. And although the Fed doesn’t set mortgage rates, its decisions certainly influence them. This means you may be able to enjoy these low rates for a little while longer.
Inventory is increasing
While we did reach historically low inventory in 2018, numbers show that inventory is picking up. A real-time report for Philadelphia county shows the MSI , month supply of inventory, has increased 60% since December. And it’s not even the end of the month yet. It is also just the beginning of a spring market which historically shows an increase of inventory.
All you need now is a PHG agent to help guide you through the process and find your perfect match.