Interest Rates

Just when you think you have interest rates figured out, BAM it changes.  Two weeks ago, there was a statement made by the Federal Government that they may stop buying bonds, which had been bolstering the low interest rates.  Immediately the market reacted and interest rates moved upwards that day.  What had been 3.75% fixed rates for 30 years, moved to over 4% within hours.  Four percent and above has been the benchmark for 30 year fixed rates over the last few days.  Now it seems that rates are softening a bit and there are 30 year fixed rate loans under 4%.  However, clearly, there is a feeling that this could be the last hurrah for sub four percent money.  If you are one of the individuals who have been on the fence for purchasing or refinancing, the time to wait is over.

Two strategies exist for the coming months. One, if you are still considering refinancing, make application and try to lock in a sub four percent fixed rate.  In the alternative, take a long look at an adjustable rate loan, if your future in a particular home is 10 years or less.  The 10 year adjustable and the 7 year adjustable are fixed for the first 10 or 7 years respectively. If you do not anticipate being in the home longer than that. the adjustable might be a quarter to three eighths percent better than the fixed alternative, and you will have moved before the first adjustment date.

The market for sales is getting stronger and the pent up demand is showing with buyers acting more confident in the marketplace.  Most realtors advise that if you find a home that meets your needs, write an offer.  In this market well priced, homes are being purchased soon after they hit the market.  I have heard too many stories of buyers being knocked due to prior contracts.

Have any more questions? Contact the Real Estate experts at Colony Title!

We at Colony Title want to be your Title Company and real estate law firm. For additional information, please contact Tee Tillman at 410.884.1160 ext. 3007 or visit today!

There is still time to sign up for the Colony Title Tennis tournament at Hobbits Glen on Thursday, June 6.  Call or email me for more info.

About Colony Title Associates:

Founded in 1995, Colony Title Group handles in excess of 2000 real estate closings per year in the central Maryland area. The founder Tee Tillman has over 23 years of experience in the title and real estate law fields. Colony handles closings for several lenders, including banks, credit unions and mortgage brokers. Colony is the preferred choice for many real estate brokers in the area.

Colony Title is your independent title company.  We are one of the few title companies that does not participate in controlled business arrangements and therefore provide professional service at a fair price.

You can also follow Colony Title on FacebookTwitter, and LinkedIn.

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