We are starting to get a lot of questions about interest rates. Are they going higher, are they going back down, should we “lock our rate? All of these are good questions and we don’t exactly have the answers but we do have some thoughts on the issue.
First of all, we don’t believe they are going back to 3%. The interest rate hovered in the 3% range for a very long time. The government is starting to indicate that they are going to start phasing out the “quantitative easing” which should increase interest rates.
Are they going higher? Not in the short term….but more than likely yes in the longer term. When we look at some recent projections from some notable entities like Fannie Mae, Freddie Mac and the National Association of Realtors we see most of the projecting that rates with be right around 5% in the second quarter of 2014.
Should you lock your loan? We don’t have your answer on this one. We suggest you speak with your local lender and have them assist you in making that decision. Christy and Garth Gillespie recommend a few lenders and they include: Patti Patterson – 307-732-7868. Jeff Collins – 307-732-7925 or Mark Hassler – 307-732-7933 all at First Interstate Bank or Eric Burba: 307-200-9756 at Guaranteed Rate.