I have a credit score in the range of 600-650 and don’t have any existing mortgages or loans. I was looking forward to buying a house, but it is not my first house. I sold my earlier house and hence have some savings from that which I will put forth as my downpayment for the second house.
I already had found a suitable prospect which my mortgage broker got me in a 30 years fixed-rate mortgage for two hundred grand. The mortgage qualifier calculator showed a monthly payment of $910.64 at an interest rate of 3.6%. I would end up paying about 130 grand over 30 years as interest.
But now the situation has changed. The stock market has already been affected by the coronavirus, and mortgage rates have plummeted significantly. I’m curious about people’s opinions on this as to what degree this will change the housing market? How cheap will the mortgage rates go? Will housing rates go downhill due to fear/panic, or instead, will it go up as people can get access to better mortgage rates?
What are your thoughts on this?
Thanks in Advance!
Curious, and in! We’re in a similar situation. Sold a house less than 2 years ago, renting now, curious what the market will do.
We’re here too. I work with some people in real estate and their line has been “demand is still high and inventory is still low!” Aka no change in pricing, or maybe even prices going up since mortgage rates are low and bringing more people into buying.
Idk how true all of that is or if they are just being optimistic. Obviously people depending on the industry aren’t going to run around saying it’s crashing unless they have to.
Also all that’s for the DC market, no idea what holds true for other areas. I personally would love if housing took a dive so that things could be more affordable for us.
That’s what I’ve heard from industry friends too, but then, as you say- they want people selling their houses lol.
The more realtors I work with the more I think they’re kinda like MLM salespeople in that regard. They just happen to have a product actually worth something most of the time
Market in my immediate neighborhood seems to be having a little uptick - normally it doesn’t start moving faster until summer break.