This week, the 30-year mortgage rate dropped to 3.13 % from 3.18%. A year ago, it was 3.33%. Right now, there is limited supply of homes for sale. In addition, prices are high. This is impacting buyers from all over the country. This was the first time since January that mortgage rates drop. Similarly, the rate for a 15-year loan fell to 2.42% from 2.45%. This loan is particularly popular amongst people looking to refinance. At the same time last year, this rate was at 2.77%. With vaccine rollouts as well as other factors, mortgage rates began to increase slightly at the beginning of the year. This was the first mortgage rates drop since then.
Mortgage rates have been historically low. However, they have increased since the initial drop at the beginning of the pandemic. Strong demand and low inventory has caused prices to also increase. In fact, U.S home prices rose at the fastest pace in seven years in January. The pandemic has fueled demand for single-family homes, especially.
Furthermore, economists expect home loans to remain low until the economy recovers from the effects of the pandemic.
AMG International Realty is a global real estate firm specializing in Florida. If you are you looking to buy, rent, or sell in Miami we are here to guide you through every step of the way. From mortgage applications, to finding your dream home and closing the deal. For more information about the current real estate market in the area, contact us today!