Henri Gourd 914-954-3897 henrigourd@bhhsne.com MORTGAGE Wow! As of this writing, the interest rate on a 30 year fixed rate mortgage has more than doubled since the beginning of the year. What does that mean in practical terms? If a buyer had $1,500 each month to pay the principal and interest on a mortgage in January when the 30 year fixed rate was 3.45%, she would be able to get a loan of $336,000. With today's rates at just over 7.0%, that same $1,500 would only get her a loan of $225,000, a 33% reduction in purchasing power. My mortgage consultant, Dennis Palmer, recently shared some good advice I want to pass along while we are in a rising interest rate environment: "Marry the home; Date the rate". As a buyer, remember the home you pick will be with you for many years. However, with constantly changing rates, at some point the cost of your loan will decline and you will be able to refinance. In the meantime, if rates keep going up, you can take comfort that you got in at a good time. Do not let the higher rates deter you from stepping into the market. As other buyers may be backing away, sellers are more willing to negotiate. While sellers may be giving up something to close a transaction, they will soon become buyers and enjoy the same advantage. BERKSHIRE HATHAWAY Home Servi New England Properties Selling it all, from cottages to castles! Henri Gourd 914-954-3897 henrigourd@bhhsne.com MORTGAGE Wow ! As of this writing , the interest rate on a 30 year fixed rate mortgage has more than doubled since the beginning of the year . What does that mean in practical terms ? If a buyer had $ 1,500 each month to pay the principal and interest on a mortgage in January when the 30 year fixed rate was 3.45 % , she would be able to get a loan of $ 336,000 . With today's rates at just over 7.0 % , that same $ 1,500 would only get her a loan of $ 225,000 , a 33 % reduction in purchasing power . My mortgage consultant , Dennis Palmer , recently shared some good advice I want to pass along while we are in a rising interest rate environment : " Marry the home ; Date the rate " . As a buyer , remember the home you pick will be with you for many years . However , with constantly changing rates , at some point the cost of your loan will decline and you will be able to refinance . In the meantime , if rates keep going up , you can take comfort that you got in at a good time . Do not let the higher rates deter you from stepping into the market . As other buyers may be backing away , sellers are more willing to negotiate . While sellers may be giving up something to close a transaction , they will soon become buyers and enjoy the same advantage . BERKSHIRE HATHAWAY Home Servi New England Properties Selling it all , from cottages to castles !