Interest Rates & Your Buyer’s Purchasing Power
Interest Rates have remained at or above 4% since they first crossed the threshold on June 4th (according to Freddie Mac’s Weekly Mortgage Market Survey).
The experts are in agreement that rates will increase. With the exception of Fannie Mae, they all believe that rates will jump by a full percentage point by this time next year, as shown in the chart below:
So what does this mean for your buyer? Do they understand what waiting until next quarter will mean for their purchasing power? How can you show them simply and effectively the impact their interest rate has on the amount of house they can afford?
We have created the Buyer’s Purchasing Power slides in 10 price ranges so you can easily show your clients how even a small increase in rate can be a serious barrier to buying their dream home.
Here’s how to always find them:
Content -> Infographics -> Purchasing Power
We have also provided you with the original Power Point document as well, so that you can customize the slides for your price range or even for a specific buyer who may be on the fence, with the use of a mortgage calculator.