The interest rate you pay on your home mortgage has a direct impact on your monthly payment. The higher the rate, the greater the payment will be. That is why it is important to know where rates are headed when deciding to start your home search.

Below is a chart created usingĀ Freddie Macā€™s U.S. Economic & Housing Marketing Outlook.Ā As you can see, interest rates are projected to increase steadily throughout 2019.

Where Are Interest Rates Headed in 2019? | MyKCM

How Will This Impact Your Mortgage Payment?

Depending on the amount of the loan that you secure, a half of a percent (.5%) increase in interest rate can increase your monthly mortgage payment significantly. But donā€™t let the prediction that rates will increase stop you from purchasing your dream home this year!

Letā€™s take a look at a historical view of interest rates over the last 45 years.

Where Are Interest Rates Headed in 2019? | MyKCM

Bottom Line

Be thankful that you can still get a better interest rate than your older brother or sister did ten years ago, a lower rate than your parents did twenty years ago, and a better rate than your grandparents did forty years ago.

Your real estate agent is the best source of information about theĀ local communityĀ and real estate topics. GiveĀ Kevin CooperĀ a call today at 603-657-6787 to learn more about local areas, discuss selling a house or tour availableĀ homes for sale.

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