Can 0.5% Really Equal 5%?

Posted by Mary Cox on Thursday, December 15th, 2016 at 11:13am

Since the election, rates have started going up and it will have a direct effect on the cost of housing. There is a rule of thumb that a ½% change in interest is approximately equal to 5% change in price.14439217-250.jpg

As the interest rates go up, it will cost you more to live in the very same home or to keep the payment the same, you’ll have to buy a lower priced home.

Before rates rise too much, it may be the best time to buy a home whether you’re going to use it for your principal residence or a rental property. Low interest rates and lower prices make housing more affordable.

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<p>Take Care, </p> <p><img style="float: left;" src="file:///S:/Marketing%20and%20Prospecting%20Systems/Graphics/Signatures/Mary%20Cox%20Sig%20best.jpg" alt="" /></p>

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