TYLER, Texas (KLTV) - If you’re in the market for a new home or looking to sell your current home; now may be the perfect time.
Mortgage rates in the United States have hit a three year low.
“Right now if a client currently owns a home and they plan on staying in the home for five years or more and they’re paying more than 4.5 or 4.625 percent on a 30-year note, they need to consider refinancing because that rate will be a point better,” said Christopher Fussell, a loan officer and mortgage broker in East Texas.
Fussell says retail rates are on average 4.25 percent and wholesale rates are even lower.
“As of today, with a conventional loan, they’re at about 3.85-3.99 percent on a 30-year term,” said Fussell. “If they’re an FHA or a VA, a veteran, and those government type loans, they could be down to 3.25 percent. So, it’s a really good time for those people to really focus on finding a house they want to stick it out in for a few years.”
He said a 15-year mortgage would be even less.
“Now, if you’re really financial frugal and you want to do a 15-year note, you could be in an upper two percent rate, as of today,” said Fussell.
While Fussell says it’s a buyers market, Karla Hutchinson, a local realtor, says it’s also a sellers market.
“It’s really a good time to sell you’re home,” said Hutchinson. “There’s more buyers right now, but the inventory is low. If you have a home and you’re considering selling it, now is a great time to do that.”
Fussell says for at least the next six months and possibly up to a year, the rates will look good for home buyers.
He says the extremely low rates are thanks to multiple factors, including a low unemployment rate, the china trade deal and the ten year treasury.
After the federal reserves meeting on September 18, he says there is a good chance rates may drop another quarter percent.