With mortgage rate 1% higher, are you still buying? (sales, home sales)

[TimidGuy]

I am hesitating.... If rates stay here or go higher, housing is going down more.... Wait?

[wileynj]

Originally Posted by TimidGuy

I am hesitating.... If rates stay here or go higher, housing is going down more.... Wait?

rates always go up a hair in the spring and then again in the fall... busiest home buying season. I remember my first mortgage... landed an 8.25% and was very happy with myself as that was a great rate in the day! I never thought that in my day I'd see anything under 7%!

[TimidGuy]

But for the marginal buyer, 1% means a lot and if home sales stablized last month because of record low mortgages rates, then I am worried.

[JG183]

can't you still get a good rate if you take a point or two up front ?

you might not want to buy, but keep looking & making whatever offer feels right for you. that dream house might not be available when/if you're ready to re-start the process...

[NJ987654]

YES. rates are amazing.... they just went up from historic lows but are still incredible.

[jigglypuff]

Originally Posted by NJ987654

YES. rates are amazing.... they just went up from historic lows but are still incredible.

yep i am watching "house hunters" on hgtv, and people are very happy to be getting 6% or 7% interest

[sholden]

Originally Posted by TimidGuy

I am hesitating.... If rates stay here or go higher, housing is going down more.... Wait?

I'm waiting for 15%, then buy-buy-buy.

[jigglypuff]

Originally Posted by JG183

can't you still get a good rate if you take a point or two up front ?

you might not want to buy, but keep looking & making whatever offer feels right for you. that dream house might not be available when/if you're ready to re-start the process...

you can but its not like 5.35% (todays rate) is not a great rate, cause it is!!

we closed a week ago today and we did. and the seller paid to buy them down.

[MoorestownResident]

Originally Posted by TimidGuy

I am hesitating.... If rates stay here or go higher, housing is going down more.... Wait?

With home sales rising, the clear answer is yes. And let's keep it in the proper prespective, 5.50% or whatever they are right is VERY low historically.

However, if you listened to MoorestownResident you would have locked in around 4.75%-4.875% with no points as I warned everyone that rates were moving higher shortly. And, once again, spot on.

[ghuber]

i'm hesitating b/c of the recent surge... it's a really really tricky time to buy. no one has any idea where this market and this economy is really going.