January 26th Market Update: Is it time to invest in your house?

Good Morning,

Interest rates are holding at the same level from last Wednesday but are looking to trend a little higher. We’ve had a few good days for mortgage backed securities to offset the rising interest rates we saw last Thursday and Friday.

Today the Fed will release their monetary policy statement and this always comes with their stance on the key interest rate. As we have seen for the past few years now, the expectations are that the key interest rate will not change. The crux of what will be discussed will be why they plan on sticking to their previous laid out plan and how they feel it is effecting the market. As always, how they phrase this will depend on how investors emotionally react to it and the corresponding market movement that could either raise or lower mortgage interest rates. There shouldn’t be a big directional shift either way but it is always a wait and see game.

In the meantime, do you think this is a good time to invest in your home? This article believes now is the time. An interesting quick read if nothing else.

Rates: 30 year fixed at 4.75% and the 15 year at 4.25%, FHA: 4.75%: As always rates change with individual credit scenarios and programs, with credit in the mid 700s and a 20% down payment these rates are what you should be