A quick sketch of the past 30 years of average FHLMC Rates on 30-Year Fixed-Rate Mortgages (FRM) shows the following:

With the rate currently at an all-time low of 3.35%, numerous economists and real estate experts believe that interest rates in the housing market have essentially bottomed out and will begin to ascend in the near future, in accordance with projected GDP growth over the coming year.

FRM Rates Expected to Rise

With a recovering economy – which we here in Hawaii have undoubtedly been experiencing for the past year – comes increased values, and with the Fed keeping a watchful eye on the housing market through its continual purchasing of mortgages, it’s anticipated that FRM rates will slowly rise over the course of 2013.

A pool with a view, well worth the investment (MLS# 255554)

Based on the existing currents of the economy, what remains pure speculation is just how quickly these FRM rates will rise over the coming year or two. However, what we can be certain of is that these rates are at an all-time low and that now is a most ideal time to not only invest in real estate, but as values increase with rising rates, be assured that the investment is essentially attached with equity.

Imagine you, a beverage, and a long sigh…

If there was ever a time to jump into the market, that time is now.

Aloha,
Ben