Ok, so I have been preaching how rates are expected to go up by year end. In-fact, I think I may have even predicted rates over 6% by year end.
With that being said, I find myself amazed that today's 30 yr fixed rate mortgage according to, FreeRateUpdate.com, is 4.5% for well qualified buyers. So what gives?
In my opinion I do believe that rates are going to increase. There are too many economic factors in play for that NOT to happen. However we are presented with a fabulous gift RIGHT NOW! The gift of affordability.
As many professionals agree, every 1% increase in rates leads to a 10% decrease in affordability. This means that if you can afford a $200,000 home at today's rate, when rates jump 1% you will only be able to afford approximately $180,000. Combine this with lower home prices and you have a pretty good mix of rates and prices working to your advantage.
I do agree that there is a lot of anticipation regarding Colorado Springs real estate values in the short term. Speculation about national economic issues do have many people nervous about the future. With that in mind, a short term investment in real estate may not be the best strategy. However, if your game plan is to buy-and-hold for the longer term, you may be looking in the rear view mirror a few years from now wishing you would have capitalized on this opportunity.
William Szilagyi,Williams HomeSellers,www.ZColorado.com,www.WilliamsHomeSellers.com,colorado springs home values,colorado springs homes for sale,colorado springs housing,colorado springs real estate,colorado springs realtor,colorado springs realty,foreclosed homes colorado springs,foreclosure colorado springs,fort carson housing,fort carson real estate,home values colorado springs,homes colorado springs,homes for sale colorado springs,housing colorado springs,mls colorado springs,mls listing colorado springs,mls listing colorado springs,property colorado springs,realtor colorado springs,realty colorado springs,Monument Real Estate,Palmer Lake Real Estate,Briargate Real Estate,Stetson Hills Real Estate,Fountain Real Estate,Air Force Academy,Colorado Springs Horse Property,Manitou Springs Real Estate,Colorado D20 Schools,Woodmoor Real Estate,Jackson Creek Real Estate
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