I hope this email finds you and your family well and enjoying the New Year. As your mortgage professional, I want to make sure you are aware of the current mortgage industry trends including details about the current historically low rates.
The first half of this year will be a period of adjustment to fiscal restraint as well as uncertainty of policy going forward. Yet, most economists feel GDP growth will gain momentum over the course of the year, as households and businesses adjust to the new fiscal framework and residential construction steadily improves. Single family housing starts are expected to rise 27 percent this year and multifamily starts should rise near 30 percent.
The housing market continues to strengthen as the excess inventory of homes has gradually diminished, household job/income prospects have improved, bank balance sheets have stabilized, and home prices have moved upward. Interest rates remain at all-time lows as the Federal Reserve continues to use their balance sheet to buy mortgages and keep rates low. Interest rates are likely to rise when the economy has enough momentum to sustain growth without the help of the fed. No one knows for sure when that will happen but now is a great time to take advantage of these interest rates.
If you or anyone you know may be interested in learning more or taking advantage of these low rates in the New Year, please let us know.
Axia Home Loans - Bellevue Branch, 520 112th Ave NE, Suite #450, Bellevue, WA 98004