Every facet of our lives was thrown into chaos during the pandemic year of 2020, and mortgage rates were no exception. Luckily, there are mortgage professionals who have triaged the situation and are now offering advice on how to proceed.
If you’re struggling with the decision of whether or not to buy a home during this time of uncertainty, a competent mortgage professional can help you to evaluate your situation and determine if now is the right time for you to make the purchase. The experts at Rex Homes have also provided some information that can be helpful for anyone navigating this tricky economic climate.
Professional Advice on the Current State of Mortgage Rates
Within one day, it’s possible that you could see a drastic change in mortgage rates. This could even happen multiple times in a single day. Therefore, it’s important to know that it’s not just you who is confused about the massive fluctuations in the market, no one can predict what is happening.
Fortunately, the Fed was able to grant some peace of mind to lenders by helping to set mortgage rates.
Still, the best advice at this time is to discuss your current situation with a mortgage professional, who will be most up to date on the current state of mortgage rates and can help you determine what your best course of action will be.
Plain and Simple: Should I Buy a Home or Not at this Time?
At this time, mortgage professionals are advising most prospective home buyers to “wait and see.” If there is no urgent need for you to purchase a home right now, your best course of action is likely to wait until the dust settles and some consistency returns to the market. This is due to in large part to uncertainty in the job market, as many individuals have been furloughed or laid off by their employers.
However, if you’re job continues to provide stability and there is no uncertainty in your future income, now might be a great time to consider purchasing a home. Housing prices have stayed in an affordable range, so you may consider making a down payment if you fall into this category.
What About Refinancing?
Refinancing at this time may be a great decision for you and could save you a lot of money. You could potentially refinance at a lower rate than you are currently locked into, which would be of tremendous benefit to you monetarily. The Fed has agreed to purchase much of the debt in order to help stabilize the market.
However, if you plan to do this, you need to do it quickly. As was stated earlier, things are changing rapidly. Rates are currently falling, but there’s no telling if the trend will continue.
The most important thing to keep in mind is that it would be very difficult to navigate the tricky world of mortgage rates, homebuying and refinancing on your own during this time. Having an experienced mortgage professional assist you with this process would be extremely beneficial as times change and the volatile trends continue in the market.