I was reading the Wall Street Journal the other day and saw an article that lit my fuse ... and made we want to plead with every real estate buyer, "BUY TODAY, BEFORE RATES JUMP." Here's a link to the article Nabbing a bargain-Basement Mortgage Before Rates Rise.
After I read that I was talking to one of our potential home buyers who was looking all along the South Carolina Coast. I urged him to find that area on the SC Coast that most fit his needs and buy today. "It may be the Hilton Head area or it may not," I told him, "but find something soon and take advantage of this interest rate windfall."
Rule of Thumb: a 1% rise in rates equals a 10% rise in monthly P & I payments
I went on to share with him the general rule of thumb that a 1% rise in mortgage interest rates will result in a 10% rise in monthly payments. For example a $2500/month payment at 5% would rise to a little more than $2750 at 6%. That's like throwing away $3000 per year! Over 10 years that's $30,000 wasted. So ... I said to him, "Find that ideal spot on our SC Coast SOON, find one of the bargains there and cash in on this INTEREST RATE WINDFALL."
If you thiink you might want to explore further the once-in-a-lifetime home, villa, condo or lot opportunities on Hilton Head Island or in Bluffton, SC, please email or call us. You'll be glad you did.Posted by Rick Turner on