Thinking about buying a home? Now could be a good time to do it.
The current average 30-year fixed rate mortgage as of Aug. 11, 2022 was 5.46%, according to BankRate’s analysis. Although that rate is lower than July’s average rate of 5.73%, it remains much higher than Aug. 12, 2021’s average rate of 2.87% according to Freddie Mac’s analysis.
Higher mortgage rates tend to decrease homebuyers’ purchasing power. This means that a potential homebuyer may have to consider getting a less expensive home with the same budget than they would be able to afford with a lower mortgage rate.
With a median home price of $416,000, it’s much more expensive to purchase a home now than it was a year ago…