Mortgage rates continue to slowly drop following the Federal Reserve’s cut to interest rates
TWIN FALLS, Idaho (KMVT/KSVT) — The recent interest rates cut that happened last week, may have some people wondering: what does that mean if you’re in the market for a new home or maybe want to refinance?
“Mortgage rates on the 17th and 18th dropped by .5 percent, its one of the lowest it’s been in the last two years,” said Dawson Baker.
Dawson Baker with ReVista Realty keeps a close watch on mortgage rates — and the impact they have on the Magic Valley’s housing market. He says the announcement from the federal reserve last week to cut interest rates by half a percent is already having an impact.
Dawson says seeing more buyers getting into the market as rates go down. That drop can be mixed news for those looking for a new home.
“As a buyer, I think it’s really good to be purchasing right now because there’s a lot of inventory homes especially before the house market gets flooded with buyers,” said Baker.
“Along with the rates coming down, home prices are estimated to keep going up, especially with the lower rates,” said BluPrint Home Loans Regional Vice President, Matt Lancaster. “Now is the time to jump in and find the house that you want in this time the market has time to adjust to a decrease.”
Lancaster also says the fed’s move isn’t just impacting mortgage rates for buyers, but also those who might be looking to refinance as rates keep dropping.
“Now is a great time to do it just because with the rate drop a lot of people are saving hundreds of dollars a month and the economy is it hundred dollars a month is a car payment for a lot of Americans right now,” said Lancaster.
“If your rate is really high and it drops you like one percent or 2% absolutely,” said Baker.
The Federal Reserve is in talks of possibly doing another rate drop for the next quarter, which could result in even lower borrowing cost in Southern Idaho.
Copyright 2024 KMVT. All rights reserved.