What’s Behind Today’s Mortgage Rate Volatility?
Mortgage rates have been up and down lately, and it can be confusing, especially if you’re new to homebuying or refinancing. A few key things are causing these changes, such as elections, the economy, and the decisions made by the Federal Reserve. Elections often create uncertainty, which can cause rates to rise as markets react to potential changes in policies. Inflation and job numbers also play a role—if inflation is high or unemployment is low, mortgage rates may go up. The Federal Reserve tries to manage inflation by adjusting interest rates, which affects mortgage rates. While these changes can make the market feel unpredictable, it doesn’t mean you’re on your own. I can help you better understand what’s happening and make confident decisions for your financial goals.1
How to Save on Utility Bills This Season
Do you want to save money every month while boosting your home’s efficiency? Then energy-smart upgrades are the way to go! Heating and cooling costs are top concerns for homebuyers, with 82% saying they’re a major factor when choosing a home. Simple fixes—like sealing drafts, adding insulation, or addressing leaks—can lead to big savings and a great return on investment.
Take it a step further with a certified home energy audit to pinpoint areas of energy loss and discover impactful improvements. Plus, federal tax credits for upgrades like energy-efficient windows, doors, or heating systems make it easier to get started. These small changes can lead to lower utility bills and long-term savings while enhancing your home’s overall efficiency. 2
Did You Know?
The 2024 NAR Consumer Profile reported that the typical age of home sellers hit a record high of 63 years old. They’re moving to be closer to family and friends, but downsizing isn’t as popular as you might think. Around 12% moved to a larger home, while only 11% downsized. Others moved for a change of scenery.3
How to Look for Down Payment Assistance Programs
Homebuyers can explore a variety of down payment assistance (DPA) programs to help make homeownership more affordable. These programs can vary at the national, state, and local levels, offering different eligibility requirements and benefits. To make the search easier, homebuyers can use our Down Payment Resource tool, which is designed to help them find DPA programs that match their unique financial situation and goals. By entering key details like location, income, and home type, this tool narrows down the available options, making it easier to discover the best programs suited to their needs. Whether looking for help with first-time homebuyer programs or specific local incentives, this tool is a valuable resource for homebuyers seeking to reduce upfront costs and achieve homeownership. Let me know if you want a link to start your search!4
How a VA Loan Helps Active-Duty Military and Veterans
Homeownership offers significant long-term financial benefits, one of the biggest being the stability of your mortgage payment. While your principal and interest often stay the same, there are times when your total mortgage payment can either increase or decrease. This can happen due to changes in factors like property taxes, insurance premiums, or adjustments in your escrow account. Your mortgage payment typically includes principal, interest, taxes, and insurance (PITI), and fluctuations in any of these areas can impact your monthly payment.
For example, an increase in local property taxes or a rise in homeowners insurance premiums may cause your payment to go up. On the other hand, a reduction in insurance premiums or cancellation of mortgage insurance could lower your payment. Additionally, if your escrow account has a surplus, your lender might reduce your payment, whereas a shortage in the account might lead to a payment increase to cover the difference. To stay ahead of any changes, review your mortgage statements regularly, budget accordingly, and consider refinancing if it could help manage costs more effectively.5
2025 Loan Limits
The Federal Housing Finance Agency announced the new loan limits for 2025! Loan limits determine the maximum amount you can finance through certain loan programs. Click here to check out the latest loan limits!
Sources: 1 keepingcurrentmatters.com; 2 nar.realtor; 3 realestatenews.com; 4 rwmloans.com; 5 rwmloans.com
