Here’s how to respond with reasons your clients should buy now.
- Even if rates go up to 4%, it’s still less than half the historic average! Today’s rate may be the lowest it gets for a while. The Federal Reserve announced on Dec. 15 that American consumers should expect a series of rate hikes throughout the year.
- Waiting for a lower interest rate is risking a higher purchase price. Home prices are going up (even faster than interest rates), and even if they slow down in 2022, they won’t reverse. Remind your clients that they can always refi at a lower rate (if they drop) but they can’t decrease the price they pay over the life of the loan.
- Would your clients forego the home of their dreams for under $20 per month on a $300K loan? Every quarter percent increase costs your client about $6.50 more per month, per $100K borrowed.
As lenders, we have loan products and tools that will structure financing that fits your clients needs, which is even more important in today’s rising rate environment. Make sure your client consults with a Key Mortgage loan officer today!