Jan 16, 2015 6:44 PM
Mortgage rates drop to under 3% for a 15 year loan
A mortgage below 3%? It's true! That's what we're looking at for a 15 year loan, as average long-term mortgage rates fall for the third straight week.
The 15 year average mortgage rate now down to 2.98%. The average 30 year fixed rate mortgage is down to 3.66%. That's the lowest since May 2013.
Here's what it can mean in savings for you. Say your paying just one percent above the current 30 year fixed rate. At the new rate of 3.66% you would save $115 a month on a $200,000 loan.
Mortgage applications saw their biggest weekly gain since late 2008. For New Hampshire real estate it means foreclosures are down to near pre-recession numbers, and home prices are back to about where they were in 2008. As far as sales volume goes, the Seacoast ended the year with a record. The Board of Realtors there saying December sales at a five-year high.
Add into the mix historically low mortgage rates, the lowered cost of living, gas prices at or below $2 a gallon, and the Dow Jones setting records over the 17,000 mark. It appears all the components are there to spur a busy spring housing market.