Long term U.S. treasury yields fell to record lows this morning. Thank you Coronavirus. Meaning that interest rates for fixed mortgages are also dipping to levels lower than we've seen in recent history. So, don't hesitate, call your mortgage broker... and your real estate agent! Here's why:
Simple: The best time to get a home mortgage loan is when treasury yields are low.
Explained: When treasury bond prices increase, treasury yields drop. Treasury yields and fixed mortgage rates have a symbiotic relationship, meaning they move together. This is because all fixed-income investment products compete with one another.
Long story short, if you want a "cheap" loan, act now. Do your due diligence to take advantage of market conditions.
Step 1. Set up a meeting with your mortgage broker and ask her to present you with the best products she can offer at this time. Then, ask for a pre-qualification letter that will allow you to move forward with the home purchase that you have budgeted.
*If you don't have a mortgage broker, contact us and we will refer you to some of our amazing peeps ;)
Step 2. Call your real estate agent and ask her to set up showings for you asap, to view the top properties you really want to buy.
Step 3. When you find the right fit, take the leap and make an offer the sellers can't refuse. Lock in the rate with your lender and get those documents signed!
The rest is history... (or should we say your future).
#mortgagerates #financingyourhome #treasuryyields #coronavirus