Want to build a new home in Fort Mill or Tega Cay, SC but are uncertain that you’ll be able to finance it with today’s low mortgage rates?  There is a good chance that you’ll still have the opportunity to get similarly low rates within the amount of time it takes to build your new home. 

On Wednesday, the Federal Reserve decided that it will continue to purchase mortgage backed securities and keep interest rates at historically low levels.  It was back in December that the Federal Open Markets Committee set the Federal Funds rate in the 0% to 0.25% range, and it has remained unchanged since.   This rate is the rate that the banks are charged to borrow money from each other through the treasury, and is a broad indicator of general interest rate trends. 

Also a key point in the rate trend is that the Fed has committed to it’s previously announced policy to purchase up to $1.25 trillion in mortgage-backed securities this year.  When they initially began to purchase these securities a few weeks ago, rates fell and stayed low, and it is expected that the central bank wants rates to stay low through the end of the year. 

While this isn’t an absolute guarantee that the rates will stay as historically low as they are right now, it does indicate that rates will at least stay low enough to give buyers a great mortgage rate throughout the year.  The most important thing to take into consideration if you think that you will be ready to purchase a home soon, is to look into how the mortgage rates will work out for you.  Credit has become a key indicator in the rate that borrowers are offered, and banks scrutinize income, assets and debts very strictly now.  There are plenty of great loans out there that are still available, and the most important thing you can do is to start a conversation with a trusted loan officer who can properly advise you.  If you do not already have a favorite mortgage broker, we’d be glad to provide you with the names of loan officers in the Fort Mill area that we have had good experiences with in the past.