Graph of Mortgage Rates Falling Nationally to 3%

The Mortgage Rates dropped during the last week of May this year, 2019. Does that automatically mean this is the best time to buy real estate? We hope to address this issue in this article. See if this is the right time for you!

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Average National Mortgage Rates for Last Week in May 2019

For the first time since January 2018, the 30-year fixed-rate mortgage has dropped below 4%.

“While economic data points to continued strength, financial sentiment is weakening with the spread between the 10-year and the 3-month Treasury bill narrowing as fears of the impact of the trade war with China grow,” says Sam Khater, Freddie Mac’s chief economist. “Lower rates should, however, give a boost to the housing market, which has been on the upswing with both existing- and new-home sales picking up recently.”

Freddie Mac reports the following national mortgage rate averages for the week ending May 30:

  • 30-year fixed-rate mortgages: averaged 3.99%, with an average 0.5 point, dropping from last week’s 4.06% average. Last year at this time, 30-year rates averaged 4.56%.
  • 15-year fixed-rate mortgages: averaged 3.46%, with an average 0.5 point, dropping from last week’s 3.51% average. A year ago, 15-year rates averaged 4.06%.
  • 5-year hybrid adjustable-rate mortgages: averaged 3.60%, with an average 0.4 point, falling from last week’s 3.68% average. A year ago, 5-year ARMs averaged 3.80%.

Interest Rate for 30-Year Mortgage Back in 3% Territory – Realtor® Magazine

Average Florida Mortgage Rates on May 31, 2019

Florida Mortgage Rates May 31 2019 Chart

 

 

 

 

 

 

 

 

What This Means For You

The decision to buy a home should be based on your ability to continue earning at least your current salary, afford the monthly payment, down payment, home repairs and furnishings. Also it is good to have enough left for an emergency fund. And consider these factors such as HOA fees and the option to pay down your mortgage in case you must move quickly in the future.

It would be ideal to buy when both interest rates and home prices are low. Since that is not possible in this current real estate market, calculate both short and long term costs of a lower interest rate versus a lower purchase price. When the numbers make the most sense for you, make your move. 
 
You could use a Mortgage Loan Calculator and compare different interest rates, down payments, and home prices to see how each one is an advantage to you. Here is a Mortgage Loan Calculator that you could use for this purpose:

However as Buyers, this might be a great opportunity for you to receive a guaranteed locked-in quote from your personal lender for the interest rate on a future Mortgage Home Loan. Since we don’t have a crystal ball to tell when mortgage rates hit the very lowest number, we cannot predict if the rate will go up or down in the future. 

Whenever you are ready financially and emotionally to buy a home, that is probably the right time. Therefore choose the best interest rate, lender, and selling price for your future home. And choose the Martin Group as your best Realtors®. We will gladly guide you with our real estate service. Let us know what we can do for you now. Text 561-339-1779 to get in touch with us for your FREE Consultation. Or if you prefer, email us: Contact the Martin Group

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