Interest Rates at a Historical Low!
September 10, 2020
Interest rates are at a historical low right now! If you have thought about purchasing a home or moving this year, this is the time to do so.
As of this week, the rate for a 30-year fixed loan is 2.875% and the 15-year fixed loan is at 2.375%, according to BankofAmerica.com. These are the lowest rates we have ever seen.
In terms of a monthly payments – If you were to buy a house at $500,000 with a 30-year fixed loan, your monthly payment would be only $1,600 (P&I), compared to $1,900(P&I) this time last year. This amount is less than the average monthly amount for an apartment in the Inner Loop. According to HAR.com, the average rent for a single-family/townhome rental increased to $1,940 in July this year. And monthly rent on a comparable home would be approximately $3,000.
Houston right now is facing a shortage of single-family homes. Homes are selling in all neighborhoods of town fast due to the low rates. Sandcastle Homes still has available homes in Montrose, Sunset Heights, Bellaire and more of the popular neighborhoods of the Inner Loop. Contact our Vice President of Sales, Mike Taylor, for information or questions on our homes at MikeTaylor@sandcastlehouston.com or at 281-543-6360.
Home ownership is one of the fundamental pillars to building personal wealth. You build equity through a combination of paying down your debt each month, rather than your landlord’s, and appreciation. Owning a home may also offer tax benefits, as you may able to deduct paid mortgage interest and property taxes. And, importantly, you gain budgetary security and stability. Landlords have the ability to increase rent and/or sell the property.
Homeownership remains a key part of the American dream! There’s nothing quite like the pride of homeownership. It provides you the freedom to completely personalize the home. You can decorate as you please, make improvements, plant your dream garden, etc.
If you are interested in looking or buying a new home, you can contact our preferred lenders to get more information.
Val Tieman – Bank of America
Susan Parish – Origin Bank Home Lending
This post was written by Sandcastle Homes