Where Are Interest Rates Heading in Detroit?

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Today, we have some great news for you. Over the last few
weeks, interest rates have been coming down. If you've
received a home loan sometime in the last few months, you've
probably noticed that rates are hovering between 4.25%
and 4.4%. 





Let's say you have a $200,000 home loan with an interest rate of
4.25%. Your principal and interest payment would be roughly $989
a month on a 30-year fixed mortgage. Recently, I've seen
closings with interest rates as low as 3.6%!  If you
locked in this rate now, instead of the 4.25% rate, your monthly
payment would only be around $907, for a savings of about $80 a
month! Over the course of a year you could save $960, and about
$2,000 over two years! 





If you have an FHA loan, we have some good news for
you. FHA has lowered its basis points from 1.35% to
.8%! This means that if you got an FHA rate sometime in
the last three years, you're probably paying $120 to $150 a month
in mortgage insurance. You could have it reduced to $65 to $110 a
month if you refinanced! This is a $50-a-month savings
per loan, which is fantastic. FHA also offers something
called FHA Streamline, which allows you to obtain a
loan without having to deal with appraisals, credit checks, and
underwriting, all for $300.





We have several lenders we can refer you to if any of these
opportunities interest you. Give us a call or shoot us an email -
we would love to figure out whether now is the best time to make
your move and discuss your options. We look forward to hearing
from you soon!