Interested in buying a new home? It’s a good idea to be aware of what new homebuyers are looking for. The following features are currently generating a lot of demand, which may
Interest Rates Are Low Maybe Too Low
Interest rates remain near historic lows—which is great if you’re a home buyer, but not so great for mortgage makers. After all, interest is profit for the lender.
“With lower rates, they’re making less money per loan. “The lenders’ costs have gone up, and their ability to make money continues to be limited by low interest rates.”
For example, rates were 3.8% for the average 30-year, fixed-rate mortgage last week, according to HSH.com, a publisher of mortgage information and statistics. In 2000, it was 8.08%. At the height of the bubble in 2007, it was 6.37%; in 2010, it was 5.08%.