Mortgage rates settled down the last two days, but the damage was done – we’re above 4.50% (no points) now for 30-year loans. You’d think that some day the higher rates will have an impact on the demand for housing, but for now, sellers are confident that the prime selling season will be fruitful. Heck, maybe there will be some sellers who will consider a lower offer?
Of course, rates are still pretty favorable, historically:
Yes they are historically low. My father had a tough time selling RE in 1980 because of the rates.
In the early 80s, I can remember Phoenix home builders selling new homes with 0% interest rates. Just divide the price of the new house by 60 and that was your payment for 5 years. Sure beats a 16% mortgage.