{"id":1873,"date":"2021-07-19T15:08:39","date_gmt":"2021-07-19T15:08:39","guid":{"rendered":"https:\/\/phphouses.com\/blog\/?p=1873"},"modified":"2021-07-19T15:08:39","modified_gmt":"2021-07-19T15:08:39","slug":"interest-rates-rise","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/interest-rates-rise\/","title":{"rendered":"What You Should Do Before Interest Rates Rise"},"content":{"rendered":"
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What You Should Do Before Interest Rates Rise<\/p><\/div>\n

In today\u2019s real estate market, mortgage interest rates are near record lows. If you\u2019ve been in your current home for several years and haven\u2019t refinanced lately,\u00a0there\u2019s a good chance you have a mortgage with an interest rate higher than today\u2019s average.\u00a0<\/strong>Here are some options you should consider if you want to take advantage of today\u2019s current low rates before they rise.<\/p>\n

Sell and Move Up (or Downsize)<\/strong><\/h4>\n

Many of today\u2019s homeowners are rethinking what they need in a home and redefining what their\u00a0dream home<\/a>\u00a0means. For some, continued remote work is bringing about the need for additional space. For others, moving to a lower cost-of-living area or downsizing may be great options. If you\u2019re considering either of these, there may not be a better time to move. Here\u2019s why.<\/p>\n

The chart below shows average\u00a0mortgage rates<\/a>\u00a0by decade compared to where they are today:<\/p>\n

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Buyer Purchasing Power<\/p><\/div>\n

Today\u2019s rates are below 3%,\u00a0<\/strong>but\u00a0experts forecast<\/a>\u00a0rates to rise over the next few years.<\/p>\n

If the interest rate on your current mortgage is higher than today\u2019s average, take advantage of this opportunity by making a move and securing a lower rate.\u00a0Lower rates<\/a>\u00a0mean you may be able to get more house for your money and still have a lower monthly mortgage payment than you might expect.<\/p>\n

Waiting, however, might mean you miss out on this historic opportunity. Below is a chart showing how your monthly payment will change if you buy a home as mortgage rates increase:<\/p>\n

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Mortgage Rates by Decades<\/p><\/div>\n

Breaking It All Down:<\/strong><\/h5>\n

Using the chart above, let\u2019s look at the breakdown of a $300,000 mortgage:<\/p>\n