Are Interest Rates Rising?
Yes we are seeing a little increase with the average rates on 30 year at the end of November being closer to 4.75%.
The government loans have seen a downtrend of delinquency on the mortgages that they have right now, so that is good. Actually at 9.13% delinquency rate is the lowest since the first quarter of 2009 and lower than it was a year ago. That IS good! That means the tightening of qualification and requiring having a job and having some money, fewer buyers are getting into homes they can’t afford and defaulting.
If we can see an improved delinquency rate, perhaps some of these stricter rules like higher credit scores could be adjusted down a little. There are good buyers out there that just goofed up one time and messed up their credit and they cannot buy. I like a lot of the restraints on buying qualification but the pendulum is way over right now. We need to come back to the reasonable middle!
Yes we are seeing a little increase with the average rates on 30 year at the end of November being closer to 4.75%.
The government loans have seen a downtrend of delinquency on the mortgages that they have right now, so that is good. Actually at 9.13% delinquency rate is the lowest since the first quarter of 2009 and lower than it was a year ago. That IS good! That means the tightening of qualification and requiring having a job and having some money, fewer buyers are getting into homes they can’t afford and defaulting.
If we can see an improved delinquency rate, perhaps some of these stricter rules like higher credit scores could be adjusted down a little. There are good buyers out there that just goofed up one time and messed up their credit and they cannot buy. I like a lot of the restraints on buying qualification but the pendulum is way over right now. We need to come back to the reasonable middle!
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