Rising Mortgage Rates may Spark Home Sales

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Slowly increasing mortgage rates are prompting some prospective buyers to jump off the fence and buy a home.  Rates have risen 1/2 a point to between 4 & 4.25% since setting record lows last fall around 3.5%.  Though many home owners still remember when interest rates during the inflationary times in 1981 & 1982 exceeded over 16%, younger homeowners and first time homeowners have a much shorter memory so even a spurt to the low 4% range is disconcerting.  Even though there is still a  climb to the 5-6.5% we experienced for an extended period, home buyers are showing signs of wanting to take advantage of the combination low interest rate and lower price points of the available homes, and acting quickly to find that home to buy.  If you want to find your special home before interest rates go up much more, please give me a call.