Bend Oregon Real Estate News – Learn more about the Fed’s Plan to Raise Mortgage Interest Rates

Bend Oregon Real Estate News

By Jason Boone

Do you remember what you were doing in July 1982?

If you owned a home back then, or followed Bend Oregon Real Estate News, you know that mortgage interest rates were 16.82% for a 30-year fixed mortgage loan.

Fast forward to 2015 and you are most likely paying a low mortgage interest rate of 3.98%, or less, for a 30-year fixed mortgage loan.

Yes, mortgage interest rates can be considered to be historically low right now, but, as the economy is growing, Federal Reserve Chair Woman Janet Yellen is anticipating an increase in mortgage interest rates.

What to Expect

In a recent press conference Janet Yellen said that she expects the Fed to raise interest rates possibly by the end of this year since the labor market in the United States has shown signs of recovering.

When pressed on when consumers can expect to see interest rates rise for the Real Estate and other markets in the United States, Mrs. Yellen declined to give an exact date on when rates will begin rising but she did state her preference by saying: “My own preference would be to be able to proceed to tighten in a prudent and gradual manner,”.

How Will This Affect You?

One common question that anyone who follows Bend Oregon Real Estate News wants to know is how will it affect them when mortgage interest rates ultimately rise across the United States?

The obvious answer is if you plan on buying a home or refinancing after the Federal Reserve increases mortgage interest rates you can expect to pay more for your mortgage compared to if you were to take action and buy or refinance a Bend Oregon home right now.

Another question that economists and home buyers across the United States want to know is how will the increase in mortgage interest rates effect the Real Estate market as a whole?

Although we would like to think that it will have a minimal impact on home price appreciation, or sales, the reality is that an increase in mortgage interest rates will make it more expensive for some home buyers to afford to purchase Real Estate.

Get More Bend Oregon Real Estate News

For more Real Estate news affecting Bend Oregon, or to view homes for sale, contact me today by CLICKING HERE to connect with me through my website or by calling (541) 383-1426.

Mortgage Interest Rates Increase – Is It Time For Your To Buy A Bend Oregon Home?

Mortgage Interest Rates Increase

By Jason Boone

BEND – As of June 11th 2015 the average interest rate for a 30-year fixed mortgage loan is now 4.17 percent and the current interest rate is now at the highest it’s been since it was at 4.02 percent back then.

Rates Heading To 5 Percent?

If you’re thinking about buying a Bend Oregon Home now is a great time for you to get pre-approved for a mortgage loan since most analysts predict that mortgage interest rates will increase to at least 5 percent by the end of the year.

Mortgage Applications Increase

Thanks to the increase in mortgage interest rates more people decided to file mortgage applications this week and the result was an increase in mortgage application filings of close to 10 percent and this shows us that the Real Estate market continues to remain strong in spite of brief dips in activity around holidays like Memorial Day.

Rates Still At Historic Lows

The recent surge in mortgage application filings is a reminder that interest rates are still historic lows considering the fact that the 30-year fixed mortgage interest rates back in June 2007 was 6.6 percent so you’re still enjoying significant savings if you buy a Bend Oregon Home Now.

Some Economists Not Excited

Although it’s good to get positive Real Estate and economic news, some economists including analysts from Goldman Sachs said recently that the excitement over low mortgage interest rates and the surge in applications is misplaced considering that in spite of recent rate increases we are the market is still at levels comparable to where the market was back in 1996.

Buy a Bend Oregon Home

To get started with buying a Bend Oregon Home, or to view Bend Oregon Real Estate, contact me today by calling (541) 383-1426 or CLICK HERE.

Mortgage Interest Rates Raise Slightly In Last 30 Days

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By Jason Boone

BEND – Over the last 30 days we’ve seen mortgage interest rates increase slightly to 3.80% for a 30-year fixed mortgage loan (up 3 basis points from February) and 3.03 percent for a 15-year fixed mortgage loan.


 

How to Get the Best Deal on a Mortgage Loan

Step 1 – Check your credit reports and remove for any negative or inaccurate information which may be reported about you.

Step 2 – Pay down your debts since this will also help to lower your debt-to-income ratio and make mortgage repayment easier.

Step 3 – Be transparent when applying for a mortgage and don’t hesitate to provide documentation for everything including sources of income.

Step 4 – Have a down payment of at least 20 percent ready to buy a home since this will make you more attractive to potential lenders.

Step 5 – Ask about fees like the origination fee BEFORE signing since these fees can make your loan more expensive.


 Great Time to Buy In Bend

If you’re thinking about buying a home in Bend and haven’t decided to make it happen yet, now is a great time to buy a home.

Don’t wait for mortgage interest rates to keep falling though since home prices are only expected to continue increasing across Bend and Central Oregon

To learn more about Bend Oregon Real Estate contact me, Jason Boone, Principal Broker with the Skjersaa Group | Duke Warner Realty by calling me at (541) 383-1426 or by clicking here to connect with me through my website.

Buy in Bend Oregon – 3.9% Mortgage Interest Rates Make It the Right Time to Buy a Home

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By Jason Boone

Thanks to recent data released from by the well-known Mortgage Bankers Association we know that interest rates for all 5 mortgage loan types have fallen recently, including 30-year mortgage loans, and this makes it a great time to buy in Bend Oregon.

A 3.9% mortgage interest rate for a 30-year fixed mortgage loan is awesome considering that most economic analysts have predicted that interest rates will only increase this year but so far they’ve defied expectations.

When Will Mortgage Interest Rates Increase?

As we move into the spring most economists predict that mortgage interest rates will begin to increase especially when we approach the summer months.

By the end of the year mortgage interest rates are predicted to be at 5% for a 30-year fixed mortgage loan so now is a great time to buy in Bend Oregon especially if you want to save big money over the lifetime of your mortgage loan.

Before You Buy In Bend Oregon Do This

One of the most important things you can do before you buy in Bend Oregon to check your credit report and remove any inaccurate items plus do your best to pay off old debts since this will ultimately help to lower your debt to income ratio.

If you’re ready to Buy In Bend Oregon contact me, Jason Boone, Principal Broker with the Skjersaa Group | Duke Warner Realty by calling me at (541) 383-1426.

Planning On Buying or Selling a Bend Oregon Home during 2015?

Home Appreciation

Learn More about What Economists Predict For the 2015 Real Estate Market

By Jason Boone

Thanks to a recent report from Frank Nothaft, Chief Economist with Freddie Mac, we know that 2015 is going to be another great year for Real Estate across the United States and it’s also going to be an excellent year for anyone to buy a Bend Oregon Home, here’s why:

Mortgage Interest Rates Will Rise Slightly

Although mortgage interest rates are currently hovering near 4%, most economists including Frank Nothaft predict that mortgage interest rates will increase to just 4.5% next year.

An increase of .5% can mean that you will pay thousands of dollars more over the lifetime of your mortgage loan so if you’re planning on buying within the next few months it’s best to lock in a low mortgage interest rate now by getting pre-qualified for a mortgage loan.

Home Price Appreciation Will Also Increase

During 2015 we can also expect to see an increase in home price appreciation of at least 3%.

This is good for sellers but it will present challenges for some buyers since higher home prices and higher mortgage interest rates may keep some buyers out of the Real Estate market.

More Home Construction During 2015

There’s no denying that 2015 has been a great year for home construction in towns like Bend and Redmond during 2014; this will continue in the coming year as more permits have been pulled.

As we approach the end of the year by home builders who plan on starting construction of new homes in the coming months.

Buy a Bend Oregon Home

To buy a Bend Oregon Home or to view homes for sale across Central Oregon contact me, Jason Boone, Principal Broker with Duke Warner Realty | Skjersaa Group by calling me at (541) 383-1426 or by clicking here.

Close To 1 million Homeowners Nationwide Are Missing Out On Lower Mortgage Payments

Mortgage

Freddie Mac survey shows most homeowners still not benefiting from low mortgage interest rates

 

New Survey By Freddie Mac Shows Many Homeowners Are Still Overpaying For Their Mortgages

By Jason Boone

Thanks to a recent survey by Freddie Mac we know that close to 1 million homeowners across the United States are overpaying for their mortgages each month.

Even though mortgage interest rates dropped to a low of 4.1% last week, for a 30-year fixed mortgage, the Freddie Mac data has shown us that most homeowners are not tapping into the resources which are available which will help them lower their monthly mortgage payments.

Home Affordable Refinance Program (HARP)

Started during the “great recession”, the Home Affordable Refinance Program has been one of the best opportunities for homeowners in Bend Oregon and across the United States to refinance their mortgages plus shave at least $200 or more per month off their monthly mortgage payments.

So far over 800,000 families across the United States have benefited from HARP and this program has helped both the consumer and lender since it’s kept more homeowners in their homes and helped lenders reduce the chances of a home slipping into foreclosure.

About HARP

Millions of homeowners found themselves in a difficult predicament after the U.S. housing bubble burst in 2008. As inventories soared nationwide, home prices plummeted. Many new homeowners saw the value of their homes drop below the balance of their mortgages, or nearly so. Later, these same homeowners were prevented from taking advantage of lower interest rates through refinancing, since banks traditionally require a loan-to-value ratio (LTV) of 80% or less to qualify for refinancing without private mortgage insurance (PMI).

Take for example a house that was purchased for $160,000 but is now worth $100,000 due to the market decline. Further, assume the homeowner owes $120,000 on the mortgage. In this scenario, the loan-to-value ratio would be 120%, and if the homeowner chose to refinance, he would also have to pay for private mortgage insurance. If the homeowner were not already paying for PMI, the added cost could nullify much of the benefit of refinancing, so the homeowner could be effectively prohibited from refinancing.

Source – Wikipedia

Who Qualifies For HARP?

If your mortgage is guaranteed or owned by either Fannie Mae or Freddie Mac you qualify for HARP.

You will also qualify for this program if your mortgage loan is over 80% of your home’s value and you have been current with your mortgage payments for the last 12 months.

Before Choosing HARP or Refinancing

Regardless if you choose HARP or decide to refinance your current mortgage loan make sure that you pull your credit score first and verify what your current credit score is because it make sense to wait a few months to improve your credit score before choosing to refinance your mortgage loan.

Contact Us

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To learn more about the benefits of refinancing your mortgage loan, HARP or the Bend Oregon Real Estate Market contact me, Jason Boone, Principal Broker at Duke Warner Realty | Skjersaa Group by calling me at (541) 383-1426 or by emailing me at jason@sgbend.com.

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