Your Trusted Real Estate Advisor

Can you believe interest rates are now under 5%?  I just checked with a lender who does a lot of FHA loans (and other kinds, too) for the current rates.  Money is available, and FHA loans only require 3.5% down payment.

Today you can get an FHA 30-year fixed loan for 4.875%.  That's amazing.  Whether you want to refinance or get a new home, now is the time to buy.  Here's why.

A year ago rates were strolling somewhere around 6%: sometimes above and sometimes below that figure. 

Comparing costs on a $250,000 home (somewhere close to the average in the Denver area), with an FHA loan at 6% ($241,250 after 3.5% down payment), the monthly payment would be $1,446,42 (principal and interest only).

That same loan ($241,250 principal) at 4.875% would be $1,276.71.  Or you could get a 15-year loan at 4.75% for only $1,258.47 a month.  In other words, you get a new home and pay it off in 15 years for the same amount that a 30-year loan would have cost a year ago.

A different way to look at it is, for the same amount per month that it would have cost you to buy a $250,000 home a year ago, you can now get a home worth more than $280,000. 

Combine that with the lower cost of homes right now, and you would be amazed at what you can buy. 

To see what kind of home you could buy now, email me at rudyantle@msn.com or call 303-284-3609.