Mortgage Rates Are Set to Jump. Here's How to Lock In a Low Rate Now - Money Magazine

Mortgage Rates Are Set to Jump. Here’s How to Lock In a Low Rate Now – Money Magazine

This article is about the housing industry and there current state after the financial crisis of the early 2000s. Currently the cost of buying a home has increased. Monthly mortgages has risen 10 percent. The article states that 76 percent of homeowners cite interest rate as the reason for the financial crisis that occurred. Interest rates are steadily increasing so potential home owners should lock in there low fixed mortgages rates now. The best long term option for homeowners is a low down payment conventional loan.

Key Takeaways:

Lately it has become easier to get a mortgage as lenders have been easing up on their requirements.
Rates are expected to go up. If you want to lock in a low rate, you need to act now.
Know your options and how long you anticipate being in your home. You might want to opt for something else than a 30 year mortgage option.

“But even as credit expands, the cost of buying a home is going up. Rising interest rates, coupled with escalating home prices, have pushed affordability to its lowest point since 2010. Monthly mortgage payments required to purchase a median-priced home went up 10% in the fourth quarter of 2016, according to Black Knight.”