Though the first two weeks of the New Year has brought a rocky start to financial markets, there has been some good news on the real estate front. Despite the modest interest rate bump by the Federal Reserve Bank and the downward spiral of the stock market mortgage rates have dipped below 4% again.
The pressure on the stock market brought about by a combination of the move by the Fed, the freefall of the Chinese yuan, and the freefall of oil prices sent investors running to the bond market for relief. This rush on bonds has driven the return on bonds down and this is the primary source of funds for many mortgage lenders. For that reason mortgage have not only remain the same, but have even dropped.
The freefall of the yuan has also been a boon to American buyers of real estate. The Chinese have been huge investors in the U.S. real estate market, particularly in the central Florida region. This should slow the rapid rise in the prices of new construction especially making real estate more affordable for American buyers.
If you are interested in a new primary residence, a second home, or vacation home this may be the perfect time to invest in prime real estate in and around the central Florida resort areas.
Wendy Morris Realty currently has some of the best pre-existing homes in the Windermere area as well as opportunities for many special price options with many of the area’s best home contactors. Call Mike Horton at Wendy Morris Realty today and let me help you get the home of your dreams near the magic where all your dreams come true.