Future Direction Home Prices and Mortgage Rates in NYC
Wednesday, July 20th, 2011Today’s Mortgage rates have been historically low for the past couple of years. Jumbo mortgage rates for condos and coops in NYC have been at the lowest point on record. Mortgage rates and CDrates were driven to record lows by the Federal Reserve to help the housing market recover from the worst housing bust on record.
Right now is one of the best times ever to buy a condo or a coop home since mortgage rates are so low and prices are down about 20 percent on average. Home affordability because Low mortgage rates current and lower prices currently make buying a home in NYC more possible for many more people. Track mortgage rates with a mortgage rate widget monitorbankrates.com/mortgages/free-mortgage-rates-widget-for-your-website-4585 that way you will know when rates decrease or increase.
The high barriers to owning have come down. Yes, prices are still higher than they were 10 years ago but don’t expect prices to come down much more because NYC is a unique place where the entire world wants to own a home. Since Manhattan is on an island the only way to expand is up and there is a limited number of plots and buildings available.
Conforming mortgage rates and jumbo mortgage rates hit record lows late last year and have since gone slightly higher. Fixed conforming 30 year mortgage rates hit an all-time low of 4.23 percent and jumbo mortgage rates hit a low of 4.72%
The 4.23 percent rate on conforming loans and the 4.72% rate on jumbo loans was an ever rate. At the time you could find 30 year conforming rates as low as 4.00% if you were willing to buy down the mortgage rate with points. Jumbo mortgage rates could be had as low as 4.25% with two mortgage points.
Current fixed conforming mortgage rates are slightly higher than the all time lows at 4.50% and 30 year jumbo rates are just under 5.00%.
We think condo prices and coop prices have bottomed out in NYC so now is the time to buy. Coupled with current low rates that will be heading higher this year and next makes it more imperative to buy now. Finding a good NYC real estate agent is the most important decision you can make.