While Wells Fargo homeowners and homebuyers saw mortgage rates increase, those who are looking to refinance or buy are the only ones that may see an increase in mortgage rates. However, interest rates did not rise substantially as the lowest rates over the past few weeks were around 4.75% while they are now a bit over 5%.
Homeowners not only with Wells Fargo but other lenders as well have been, over the past dew months refinancing for a lower mortgage rate and homebuyers have been looking to get a home at a low rate at the same time. Typically, the 30-year fixed rate mortgage is what people are looking to refinance to as it often, with a low mortgage rate, brings a lower monthly mortgage payment as well.
Yet, even homeowners and homebuyers that are looking to refinance or buy are going to get an affordable rate and mortgage payment around 5% in many cases, so worries over the increase in mortgage rates may be unfounded.
While many agree mortgage rates will rise, there is nothing to suggest they will spike quickly, but there is nothing sure in the housing market. However, one thing that can be controlled is homeowners and homebuyers looking to refinance or buy. If you are in one of these situations many analysts and advisors caution that you make sure that you’re on stable enough financial grounds to afford refinancing or buying before your proceed.