Mortgage Rates at all time lows. Should you buy now?
Posted by Portland Real Estate Cafe on Sunday, August 14th, 2011 at 3:22pm.
Mortgage rates for the Portland area have dropped to 3.875% in the past few days, presenting an amazing time to buy and save money. Rates for a 15 year fixed mortgage are at 3.25%!
We have no idea how long this opportunity will last. Inflation is a concern and many pundits believe rates will have to rise in the near future.
Financing $250,000 at 3.875% gives you a monthly paymnet of $1,176 P+I.
Financing $250,000 at 5% gives you a monthly payment of $1,342 P+I.
That's $166 per month savings. $1992 per year. $59,760 in savings over the term of the loan.
Another way to look at these great rates is what your monthly payment gets you in home value.
A house payment of $1,176 per month, essentially gets you a $250,000 loan at 3.875%. If rates go to 5%, that $1,200 payment only gets you a $225,000 loan. So, taking advantage of these low rates buys you a lot more home.
Contact us today, to find out what you can afford and take advantage of this amazing opportunity.
Be the first to comment on this blog entry!