The reality of very, very low interest rates is the important thing. Consider this……..low interest rates can do one of three key things for you when you are buying a home. You can choose what option is best for you:
1. Lower Monthly payments
2. More purchasing power
3. Paid off sooner
A 15 year mortgage would have an interest rate of 3.875%** and the payment would be $1466.88.
Please remember we’re just looking at the bottom line of your pocket book–the principal and interest payment you make every month.
Yes, there are many more costs and things to consider when buying a home besides the base interest rate and the principal and interest payment….the APR, real estate taxes, insurance, the costs of maintaining a home, your situation, less interest deduction on your tax return…of course…..it goes on and on. (we’re trying to keep it simple).What ever your price point….$100,000, $200,000, $600,000 or anywhere in between….the same concepts apply.
The mortgage interest rates are the lowest in 50 years!Need help figuring out your "numbers"? Call Paula or Nancy today (see contact info below in the red).
*For those who really need to know-Freddie Mac started tracking rates in 1971 (1 year before Nancy started in real estate) WOW-that was a long time ago.
**Interest rates used in the scenarios above were available on 8-10-10.
REALTORS Nancy and Paula Schmelzer have a combined total of 45+ years in the Real Estate business. Both work at the First Weber Group Office in Sun Prairie, Wisconsin. Nancy is an Associate Vice President and Broker Associate. Paula is the Assistant Branch Manager. This successful Mother and Daughter Team have tremendous knowledge of the real estate business; it’s processes, laws and regulations. Both have served as President of the Realtors Association of South Central Wisconsin. Nancy in 1986 and Paula in 2008. They can be reached at either 608-834-1184 or 608-834-4724, theirwebsite, on Facebook, or by email [email protected].