News from The Novello Group - What's Happening to Mortgage Rates?

What's Happening to
Mortgage Rates?


One of the most frequent questions I'm being asked by clients at the moment is what is going to happen next to mortgage rates?

Following a steady, though hardly dramatic, increase in rates since around the time of the election last November, they've made a slight downturn very recently, which is making people very curious as to what will happen next?

In truth, no one has the answer.

What can be said, however, is that buyer sentiment hasn't been at all affected by the recent rate increases. Rates averaged 4.17% for a 30 year fixed rate home loan last month, simultaneous with the highest single month pending home sales data for 11 months!

We've seen the greatest drop in rates for months following some nervousness in stock markets of late. There appear to be concerns that projected economic growth strategies aren't going to happen as fast as was initially anticipated.

As a consequence of increased risk aversion, there's been a stronger trend for investors to retreat back to safe haven investments such as bonds. And because bonds have a very direct effect on the fortunes of mortgage rates, their regained popularity has caused the falls we've seen of late.

My advice to homebuyers would be to deal in the "now" and recognize that we still have very low rates by any historical measure and not to expect the very, very low rates that we experienced for most of last year to come back. The rise in rates since the election can rightly be seen as a long overdue market correction.

As always, don't hesitate contact us today for any 
advice you need related to real estate.

Kind regards
Aaron Novello

The Novello Group Sold 17 Properties This Month!
Here are some of the highlights:


4750 NW 112 Drive
SOLD $409,000

4404 NW 67th Way
SOLD $360,000

1250 S. Miami Ave
SOLD $342,500

660 NE 39th ST
SOLD $300,000

4421 NW 3rd ST
SOLD $265,000

7236 Tropical Way
SOLD $206,000

8081 Palmetto Circle
SOLD $205,000

777 S. Federal Hwy
SOLD $200,000

1001 SE 16th ST
SOLD $146,000

1320 NE 18th ST
SOLD $145,000

640 Tennis Club Drive
SOLD $99,999

1100 Colony Point
SOLD $85,000

The average Realtor sells less than one home each month. There is a method to working in this market and a reason for the success of Aaron and his clients. Contact us today to find out more!

 

 

Latest South Florida
MLS Stats:


Single Family Homes
Active:18,449
Pending: 3,022 (past 30 days)
Closed: 3,389 (past 30 days)
Days on Market: 177
Months of Inventory: 5.44


Condo
Active: 30,678
Pending: 3,253 (past 30 days)
Closed: 3,534 (past 30 days)
Days on Market: 191

Months of Inventory: 8.68

Contact Us

Aaron Novello
The Novello Group
Keller Williams Realty
FL
954-626-8768
Fax: 954-809-3003
Send an Email

www.soldinsouthflorida.com

 

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From Our Listings

3140 S. Ocean Blvd #107N $799,000

2941 Hidden Harbour Street $599,999


19380 Collins Ave PH-16 $525,000


"Thanks to Aaron Novello and the team at The Novello Group for taking care of business. Very respectable and efficient group of people who will go the extra mile to make sure you are satisfied and make sure the client is comfortable. Definitely recommend The Novello Group to take care of any of your residential real estate needs."

- Andre Davis

 

Aaron Novello
The Novello Group
Keller Williams Realty, FL