What will the fed increase mean to fixed mortages???

Fixed-rate mortgages

The average 30-year fixed mortgage rates is 4.08%, down from 4.15% a year ago despite the Fed’s hikes. Home buyers and refinancing homeowners seeking fixed-rate mortgages shouldn’t be nervous just yet.

The rate hikes and the unwinding of the Fed’s portfolio could increase mortgage rates by half a percentage point this coming year. For that $200,000 mortgage borrower, it could mean shelling out an additional $180 a month by the end of 2019.

So if you are planning to purchase a home this year consult with your lender to see if adjustable would be a better deal. It is a know fact that 80% who have a mortage either sells the home or does a refi every 7 ot 8 years, so look at the terms of an adjustable it may be a good option and could save you money.