Interest Rates Increasing?

Last week, Federal Reserve Chairwoman Janet Yellen gave a much-anticipated speech about the economy and it's expected impact on interest rates.

According to Yellen, the possibility of rate increases this year have strengthened. She hinted that it may happen as soon as a month but many feel rates won't increase until the end of the year. This is a change to just a few months ago when, after BREXIT, there was talk of interest rates remianing stable or declining slightly.

“In light of the continued solid performance of the labor market and our outlook for economic activity and inflation, I believe the case for an increase in the federal-funds rate has strengthened in recent months,” Yellen said.

The last increase was in December 2015, the first Federal rate increase in 9 years. Prior to this increase, Yellen sent a variety of signals indicating the possibility of an rate uptick and it appears she is doing this once again.

If you are considering refinancing or obtaining a home loan to purchase a residence, now is an ideal time to apply and lock in your rate while it is still low.

Currently, the average rate on a 30-year fixed mortgage is right around 3.25 to 3.75%, which is still near record lows.

I welcome the opportunity to assist you in all of your lending needs. Please feel free to contact me to find out which of our loan options work best for your unique situation.