The Jersey Shore by Karl Hess

Interest Rates Impact on Buying a Manahawkin Home

Interest Rates Increasing

If you’re thinking about buying a home in Manahawkin, now may be the time to act.

According to Freddie Mac’s latest Primary Mortgage Market Survey, interest rates for a 30-year fixed rate mortgage are currently at 4.61%, which is still near record lows in comparison to recent history!

The interest rate you secure when buying a home not only greatly impacts your monthly housing costs, but also impacts your purchasing power.

Search for Homes in Manahawkin

Purchasing power, simply put, is the amount of home you can afford to buy for the budget you have available to spend. As rates increase, the price of the house you can afford to buy will decrease if you plan to stay within a certain monthly housing budget.

The chart below shows the impact that rising interest rates would have if you planned to purchase a home within the national median price range while keeping your principal and interest payments between $1,850-$1,900 a month.

Buyer's Purchasing Power

With each quarter of a percent increase in interest rate, the value of the home you can afford decreases by 2.5% (in this example, $10,000). Experts predict that mortgage rates will be closer to 5% by this time next year.

Act now to get the most house for your hard-earned money.

Karl Hess & Keller Williams Shore Properties provides expert real estate services to residential buyers and sellers in Manahawkin and the surrounding communities. Contact us today for more information on Manahawkin Real Estate and for professional assistance navigating this complex home market.

As always, thank you for your time and feel free to get in touch if you have any questions. Karl Hess, Keller Williams Shore Properties - #1 Real Estate Office in Ocean County

 

 

 

 609-553-7926

Find Your Dream Home on The Jersey Shore in Ocean County!

www.TheJerseyShoreHomeFinder.com

 

 Licensed in New Jersey.  Keller Williams Shore Properties 

1400 Hooper Ave. Toms River NJ 08753 Phone: 732-797-9001

 

 

 

Comment balloon 0 commentsKarl Hess • May 23 2018 10:11AM
Interest Rates Impact on Buying a Manahawkin Home
share
If you’re thinking about buying a home in Manahawkin, now may be the time to act. According to Freddie Mac’s latest Primary Mortgage Market Survey interest rates for a 30-year fixed rate mortgage are currently at 4. 61%, which is still near… more
Is Home Ownership in Ocean County Within Your Grasp?
share
Buying a home in Ocean County can be a daunting task, but we help educate and guide first time home buyers through every step of the process. Our goal is to make buying a home a simple, fun, exciting, and hassle-free experience. (Did you know that… more
Should I Wait to Buy a Home in Barnegat?
share
What if I wait until next year to buy a Barnegat Home? We recently shared that Barnegat home prices have increased by 25. 42% year to date over 2017. They’ve also increased by 6. 7% year-over-year on a national basis. Over that same time, interest… more
More New Construction Homes Coming to Barnegat
share
Homes starting in the high 300’s in the Ocean Acres Section of Barnegat - Press Release from D. R. Horton on new construction in Barnegat D. R. Horton’s New Jersey division is pleased to announce the opening of its Whispering Hills community in… more
How Much Do You Need to Make to Buy a Home in Barnegat?
share
It’s no mystery that cost of living varies drastically depending on where you live, so a new study by GOBankingRates set out to find out what minimum salary you would need to make in order to buy a median-priced home in each of the 50 states, and… more
Use Your VA Loan to Buy a Home in Barnegat
share
As a Veteran myself who has used the VA Loan Program, I understand the value it provides. Thousands of veterans live in Ocean County, and over 450, 000 veterans call New Jersey home. For veterans and service members planning to purchase a home in… more
Coming Soon to the Freedom Hills Section of Barnegat
share
Coming on the market very soon is this 4-bedroom 2. 5 bath, almost 2200 square foot home (not including finished basement) and 2 car garage on over 1/3 of an acre in Barnegat’s Freedom Hills Section… a home that provides easy access to Route 9 and… more
Barnegat Home Buying Myths
share
Think you need a down payment to buy home in Barnegat? Not with a USDA home loan guarantee you don't! A USDA home loan is a zero down payment mortgage for eligible rural and suburban homebuyers. USDA loans are issued through the USDA loan program,… more
Buy a Home in Barnegat - Increase Your Wealth
share
Buying a Barnegat Home will increase your wealth and build financial equity. Over the next five years, home prices are expected to appreciate, on average, by 3. 6% per year and to grow by 18. 2% cumulatively, according to Pulsenomics’ most recent… more
Rising Rates DO NOT Lead to Falling Home Prices
share
It's a common belief in real estate that house prices are correlated to interest rates. The idea, beloved by homebuyers, is that if mortgage rates rise, prices of homes for sale must fall because otherwise those homes will become less affordable… more