The problem with crystal balls is that sometimes they aren’t so crystal.
Take interest rates. At the beginning of 2014, “Everyone” was sure that mortgage rates would end the year at around 5%. And while we didn’t pick a number, to be frank, we expected them to rise some as well.
Though rates roller-coastered some throughout the year, on average they stayed flat and a 30-year mortgage ended the year at an eye-popping 3.87%
The Mortgage Banker’s Association is again predicting a rise in rates to 5% by the end of 2015. As we follow the declining price of oil and other commodities such as precious metals, we are not so sure.
Sooner or later, they will have to rise, but we do not see that in the immediate future. That said, as long as rates stay in this historically low range investment and residential real estate remain seriously attractive.
If you are in the market for either or would just like to discuss our inventory or the direction of the real estate market, we are but a call away.