For the first time in history interest rates for a 30-yr fixed mortgage dropped below 4%. Freddie Mac’s interest rate data released Thursday revealed the drop on a 30-yr fixed to 3.94%, and 3.26% on a 15-yr fixed, also a record low.
Rates this low provide homeowners the possibility of saving thousands of dollars on existing loans, and qualified home buyers the chance of a lifetime to lock in such amazing rates.
Rates being what they are the obstacle remains; qualifying for such rates is extremely difficult. Those with high enough credit scores still need to provide the 20% down and the proof of income to afford the purchase. As the nation’s unemployment rate remains above 9% record low interest rates for many are nothing more than a carrot being dangled right in front of them.