FMOC (FEDS) Raise The Funds Rate

The Federal Open Market Committee raised the funds rate 25 basis points to a range of 2% - 2.25%. They are also projecting one more rate hike and three more rate hikes in 2019.

If you are looking to buy, refinance, or are in an adujstable rate loan. Now is the time to contact me before it's too late.

Here is what the rate hikes mean:

Mortgages

The economy, the Fed and inflation all have some influence over long-term fixed mortgage rates, which generally are pegged to yields on U.S. Treasury notes, so there's already been a spike since since the Fed started raising rates.

The average 30-year fixed-rate is now about 4.7 percent, up from 4.09 percent in 2015. That has cost the average homebuyer roughly $42,000, WalletHub found.

Many homeowners with adjustable-rate mortgages or home equity lines of credit, which are pegged to the prime rate, will also be affected. While some ARMs reset annually, a HELOC could adjust within 60 days.

What you can do about it: Those with an ARM can still refinance into a fixed rate that's lower than what your ARM will adjust to later this year, said Tendayi Kapfidze, chief economist at LendingTree. "My expectation is that we are in an upward trend so sooner is better than later."

"If the fed funds rate continues to go up, there's no guarantee these rates will be available to you down the line," he added.

Contact me to review your mortgage needs.

PS. Be Proactive

https://www.cnbc.com/…/heres-how-the-fed-rate-hike-will-imp…

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