Let's talk Mortgage.
In today's booming economy with so much growth going on, it has been rumored that mortgage rates will continue to be on the rise. Let's take a look at a few of the factors that affect a mortgage rate and when the best time to buy might be.
Mortgage rates tend to follow the same trend as the economy. When you have a thriving economic climate with lending, spending, and growth, you will start to see mortgage rates climb. Fortunately, we are still in the sweet spot as far as mortgage rates go as we head into the end of 2018. According to themortgagereports.com there are not likely to be any huge jumps for the remainder of the year. This may indicate that the fall and winter months just might be the right time to lock in a mortgage rate if you are considering purchasing a home in the near future. The interest rate of your mortgage can have a significant impact on how much house you can afford in your budget. An easy way to see what your budget might allow in regards to interest rates would be to use a simple Mortgage Calculator to see how a rate increase might impact you.
Now, what does all this mean for new construction? There are a couple of different ways the mortgage rates and economy affect home building. First, in a great economy you will find a better selection of spec homes. A spec home is a property that is built on the speculation that a buyer will come along with a need and desire for a new construction purchase, but may not be seeking the entire process of building start to finish. You will find a turn-key experience in a spec home, which is desirable for many families who have a need for a new home faster than one can be built from the start. Fortunately, GMC Construction of NC has a good selection of spec homes that have all of the details one might choose if they were building a house for themselves. With the mortgage rates sitting at an affordable rate through the remainder of the year, it might benefit a buyer to lock in an investment with a spec home that suits their family's needs. Check out our selection of new homes under our Current Inventory page.
GMC Construction of NC also offers a turn-key experience with a custom home build. This process is a little bit more lengthy than a spec home of course since the builder and buyer work side-by-side to plan the details of a custom home. There are so many more financial options to building a custom home than ever before. The banks and mortgage lenders have realized the growing demand for consumers to be able to customize their home buying experience and build exactly what they want. In this case, a great option for lending would be what is called a construction perm loan. You will find some great information about this type of loan here at Bank Rate Construction to Perm Loan. GMC Construction of NC has experience building custom homes with a construction perm loan and will have the knowledge to help facilitate the home of your dreams while the rates are still looking good.
Whatever your choice for lending, now might be the time to look at making the best financial decision for your family. Mortgage rates seem to be on the climb as the economy continues to flourish. We have spec homes near completion if you are looking to move in soon, and floor plans to choose from if you see a build in your future. Contact us for more information and beat the rates that are on the rise!