Builders Seeing the Bright Side

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Builder confidence in September jumped to its highest level since October 2015 as reported in the National Association of Home Builders (NAHB) Housing Market Index. The Housing Market Index gauges builder perceptions of current single-family home sales and sales expectations for the next six months. The survey also asks builders to rate traffic of prospective buyers. All three components moved higher in September from August.

Limited inventory of new and existing homes for sale, solid job creation and low interest rates are fueling demand, according to NAHB chief economist Robert Dietz.

While tight inventory remains a challenge in many areas of the country, the good news is that home loan rates continue to hover in historically low territory. This is helping offset home price increases due to limited supply, and providing great opportunities for people looking to purchase or refinance.

If you have any questions about home loan rates or loan types, please don’t hesitate to contact UCCU Mortgages at (801) 223-7640.

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Is Now a Good Time to Buy?

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Research is showing that housing prices are still on the rise. Although the local market is considered a “seller’s market”, is it actually a good time to buy? The simple answer is yes!

As your financial partner, we want to always make sure to steer you in the right direction and ensure that we are providing the best rates, service, and advice. If you are curious about your options we have mortgage experts available to help with all of your home buying needs.

The biggest benefit of buying a home in the current market is that interest rates are still low. You can buy a home from us with a 30 year fixed conventional loan, and receive a rate as low as 3.125%*. Before the market crash in 2008, interest rates were sitting around 6.00%. The difference between the two rates is thousands of dollars when paid back over a 30 year period.

However, there is currently no guarantee that the rates will remain low. The government is currently helping influence the lower rate, but there have been rumors for some time now indicating that this “influence” will stop sooner than later and allow the market to adjust accordingly (meaning the rates will rise).

On top of great interest rates for home loans, tax benefits of homeownership are great too! Don’t wait too long to decide to buy. Visit https://uccu.mortgagewebcenter.com/ to be pre-qualified today or call us at 801-223-7640 to speak to a home loan specialist today!

*Please note that the interest rate shown here are available based on a 740+ credit score. The actual interest rate and fees available to you will be based on your credit history and may be different than the rates displayed here.
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Now is the Time to Refinance

HomeLoanRates@HistoricLows_1If you’ve been thinking about refinancing or buying a home, now may be the time to move on it. Rising home prices are being offset by home loan rates that remain near historic lows.

Home Prices on the Up and Up
Home prices, including distressed sales, rose by 6.8 percent from February 2015 to February 2016, according to housing data analytics firm CoreLogic. Month-over-month prices also were up 1.1 percent from January to February. Frank Nothaft, chief economist for CoreLogic, said this trend will continue, noting the “economic forces” of lower home loan rates and strong job creation will support the 5.2 percent home price increase CoreLogic projected for 2016.

Loan Rates Hovered Near Historic Lows in April
While home prices continue to rise throughout much of the country, homebuyers are benefitting from attractive home loan rates. In fact, monthly payments have been tempered by home loan rates hovering near historic lows.

Home loan rates can improve when there is mixed or weak economic data, as well as uncertainty overseas like the recent global economic slowdown. That’s because these factors typically cause investors to move their money into “safer” investments like Bonds, and home loan rates are tied to Mortgage Bonds. When Mortgage Bonds improve, so do home loan rates.

However, strong job growth in the first part of this year signals continued improvement in our economy. If other economic indicators gain traction and also show improvement, investors could move their money from Bonds and into Stocks, to take advantage of gains. Though many factors impact the markets, strong economic news could cause home loan rates to increase.

Finding the Home of Your Dreams
As the spring buying season continues to heat up, more families may be rushing to cash in on historically low home loan rates. That means finding the right property—and landing it—may be a mad dash for limited inventory. March Existing Home Sales were up 1.5 percent from a year ago, and March Existing Home Sales jumped 5.1 percent from February’s sharp decline to an annual rate of 5.33 million units. While sales are good, the National Association of REALTORS® reported that March’s existing housing inventory showed 4.5 months’ worth of supply; a six-month supply is viewed as normal.

Housing Starts, which measures the number of residential units on which construction has begun, also were up in March over a year ago by 14.2 percent. Building Permits, which are a sign of future construction, declined 7.7 percent from February to March 2016, hitting a 12-month low of 1.09 million units.

If you are in the market for a home, or if you’re considering a refinance, home loan rates remain in historically low territory. Please don’t hesitate to contact UCCU if you have any questions about rates, home loan products or refinancing.

 

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Mortgage Rates Have Dropped in 2015

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2015 is a new year for everyone. Amid all of the New Year’s resolutions, many people are trying to save money and get more financially sound.

At UCCU we want to help you reach your goals. If you thought you missed the refinance windowthink again. Mortgage Rates have dropped! Call UCCU for a free mortgage analysis to see if a refinance might make sense for you. Any of our qualified Mortgage Loan professionals can help you calculate a mortgage rate that keeps your goals in mind while benefiting you the most. 

Visit any one of our 18 branch locations or call us at 801-223-7640 to find out how you can meet your financial goals this year

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