Interest Rate Update

Interest rates have eased down a tiny bit over the last few weeks. Some “experts” say rates could dip down again for a short period of time to keep the housing market moving.
2014 Housing Outlook
Freddie Mac just released their 2014 housing outlook and it seems pretty positive. They indi-cate that continued softness in the labor market and a sluggish economy will help keep home prices in check but that housing demand is expected to remain strong. They also indicated that interest rates should remain where they are and could even ease a bit depending on future eco-nomic reports.
How Does This Affect You ?
One always needs to remember that most of the reports that come out are national reports for the entire country. The last month has seen the Midwest and East hammered with bad weather which will cause a slowdown in housing. In out little area of paradise we are still seeing a lack of inventory. I have a whole drawer full of pre-approved buyers that are having trouble getting their offers accepted. As the year moves along I believe inventory will increase, rates will re-main low, and demand will remain strong. Good news for the long term.
30 Year Fixed up to $417,000
4.125% to 4.50%
30 Year Fixed “Agency” up to $625,500
4.375% to 4.625%
30 Year Fixed FHA up to $417,000
3.75% to 4.25%
30 Year Fixed FHA “Jumbo” up to $729,500
3.875% to 4.25%