With Interest Rates Still Low, Is Now the Right Time to Build Your New Home?
For most buyers, a big part of making their dream a reality is financing. Where are interest rates currently? Is now the right time to build your dream home?
Over the last ten years, interest rates on 30 year fixed-rate home mortgages have dropped from a high of 6.49 percent in September 2006 to a low of 3.55 percent in September 2016. With growth in the economy, the Federal Reserve has begun to slowly raise interest rates. However, by historical standards, mortgage rates are still very attractive.
What do lower interest rates mean for you? It means that now is a great time to buy – and you can get more house for your money.
Here’s an example: Monthly payments (principal and interest) with a 3.9 percent interest rate on a $200,000 mortgage would be $943. If rates increase by one point to 4.9 percent, the monthly payment would increase to $1,061. Rates fluctuate, so be sure to get the latest quote, but it’s easy to see the advantages of lower rates.
Finding the Right Builder – and the Right Mortgage Lender – Makes All the Difference
With Fischer & Frichtel, you’ve found the right builder. Selecting the right lender and the right type of financing for your needs is also important.
How to proceed? Use helpful online tools. Talk with mortgage professionals. Ask questions. Your choices – including 30 year or 15 year fixed mortgages or adjustable rate mortgages may first seem daunting. However, online tools and mortgage professionals can answer your questions, explain your options, and help you quickly zero in on the best mortgage for your needs.
At Fisher & Frichtel, our preferred mortgage lender is Central Bank. Why? They have a strong local presence across the St. Louis area. They’re an integral part of the community because they live and work here. Local lending decisions are made here, by people who know our community.
The team at Central Bank makes it easy. A mortgage calculator can help you understand the monthly cost of options you’re considering. Central Bank provides an excellent tool at their website here. You can apply and get preapproved online, which means you get your preapproval letter more quickly. You know from the start how much home you can afford and what your fees are and what the process is. Their website offers an extensive Mortgage Information Center, where you can find answers to most of your questions, including:
- How much home can you afford
- Mortgage amortization
- Mortgage comparisons
- Homebuying checklists
- Loan options
Now’s the Time
Building and financing a new home should be enjoyable and stress-free. The team at Fischer & Frichtel and Central Bank can help you every step of the way. To get started, contact Brooke Bailey at firstname.lastname@example.org or 314-283-6510.Tags: new homes chesterfield mo