All over the country, mortgage rates have been much friendlier to those who are looking to purchase a home on the market. Recent U.S. Federal Reserve actions have further bolstered investor optimism that interest rates on home loans will further decrease. This spells great news for potential homebuyers situated all over the United States, especially Kingfisher, OK.
The Federal Reserve has realized reductions in interest rates for mortgages of various term lengths. According to this article published by Bloomberg.com, Freddie Mac reported that the average interest rate for a 30-year fixed rate mortgage dropped to 4.5 percent, while interest rates for 15-year fixed rate mortgages plummeted to 3.54 percent. This makes the atmosphere a lot friendlier for prospective real estate buyers who may be waiting for lower borrowing rates.
There is further belief among those within the U.S. financial system that these lending rates will continue to fall, at least for another few weeks. Interest rates for mortgages have inflated in the months since May of this year because of speculation that the economic stimulus package would be scaled back. Lending companies have dealt with these changes for a couple of months now, and less interest on mortgage loans is a sign that the market is evening out.
Even though these reductions are small, it represents a far friendlier atmosphere for homebuyers than we’ve experienced in the last few decades of this country’s history. The average lending rate over the past two decades for a 30-year mortgage is 6.3 percent; for 15-year mortgages, the average interest rate over the past 20 years is 5.8 percent. A dip of two entire percentage points is a dramatic drop and can save a homeowner thousands over the life of their mortgage.
Prospective property owners in Kingfisher, OK, are rushing to take advantage of these incredible loan terms, especially as most are aware that these friendly rates won’t last forever. When you need to see just how affordable owning a home in Kingfisher is, call Phillips Real Estate. We are one of Oklahoma’s premier residential real estate companies.