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This month's newsletter discusses a hot topic impacting buyers & sellers - recent interest rate increases. Recently, rates have been at historic lows bringing more buyers into the market & fueling demand for property sales. Will rate increases slow down the market? It´s too early to determine the exact impact, but many deals are still getting done. Buyers have an advantageous position due to a variety of financing options available. Historically, rates below 8% are considered very good. Second mortgages help reduce the need for private mortgage insurance. Buyers moving within 7 years are using adjustable rate mortgages. Lower rates & larger tax deductions make interest only loans a popular option. Sellers benefit as rate increases are stimulating sales activity. Fence-sitting buyers feel an urgency to act. An improving economy creates more buyers for homes priced at market values. Sellers using experienced Realtor to help prepare, position & market their home have a great advantage. |