Home sales across the country went up two and a half percent last month and the Federal Reserve is signaling it might cut interest rates this summer. What does that mean for homeowners and potential buyers? That’s still up in the air.
Joe Sheehan with Benchmarck Mortgage says the world continues to buy U.S bonds - keeping interest rates low. If the Federal Reserve cuts rates, there’s a chance interest rates could tick up, but the rate environment is still very positive because of a number of factors. Sheehan says people should work around a budget, not the rate, and if you find a good payment, take it.
“If you have a payment that works in your budget, take the rate and focus on the payment in your budget because your budget is really what you build your financial plan around anyway,” said Sheehan.
Even though home sales increased, they're still down from the same point last year. Sheehan says the home sale and home construction data is a mixed bag of results, but the signs are point to home ownership and sales numbers to increase.