March 30, 2021
How a Change in Mortgage Rate Impacts Your Homebuying Budget
For BuyersFor SellersMortgage rates are on the rise this year, but they’re still incredibly low compared to the historic average. However, anytime there’s a change in the mortgage rate, it affects what you can afford to borrow when you’re buying a home. As Sam Khater, Chief Economist at Freddie Mac, shares: “Since January, mortgage rates have increased half a percentage point from historic lows and home prices have risen, leaving potential homebuyers with less purchasing power.” (See graph below): When buying a home, it’s important to determine a monthly budget so you can plan for and understand what you can afford. […]