As many of you have probably seen, the Federal Reserve has made the decision to hike interest rates higher. Specifically, around .25% higher. This was not unexpected, and was done so that it may stimulate the economy. While there is a good amount of debate and fear over the mortgage rates hike, it is not the end of the world, or even much of an increase compared to past interest rates.
At a cursory glance, the current mortgage rates, and those of recent memory, have been lower than ever. Many are worried that the current rates hike has brought the average 30 year loan up to 4.17% (4.223% APR). A month ago it was at a 3.51% (3.64% APR), showing quite a leap. But looking through history, it seems these are still quite manageable. According to the attached graph, from the 1980’s to 2012, the percentage rate has been decreasing over time, with little upward spikes throughout.
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