Mortgage News and Notes

It's 2020! Time to Take a Look Back at 2019

January 1st, 2020 3:29 PM by Steven Hofberg

2019 started off with 30-year fixed rates right around 5% and expectation was that they would climb and end up in the mid 5’s by the summer. Happily, most of the experts were wrong and rates instead came down to the upper 3’s by the spring and have been holding fairly steady through the fall.

 

The savings for clients have been considerable. If you took out a $500,000 loan in the fall of 2018 at 5.25% and then refinanced in the summer of 2019 at 3.75% you saved around $450 per month! Lower rates also made housing far more affordable which was very helpful in a high cost area like DC. A $3000 per month payment in the summer of 2019 at 3.75% qualified you for $90,000 more house than the fall of 2018 at 5.25%.

 

2019 was not only a wonderful year for mortgage rates but it was a special year for us as well. We added a grandson and future son law to our family!

 

We hope that 2019 was also a productive and successful year everyone. We are looking forward to seeing what 2020 will bring.

 

Happy New Year!

 

Margie and Steve

Posted by Steven Hofberg on January 1st, 2020 3:29 PM

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