As soon as it became apparent that Donald Trump would be this country’s next president, Wall Street tanked. This may not be an indication of concern over economic policy as much as the stock market hates the unknown.
However, Since Tuesday, there has been a rebound which resulted in a mortgage rate change. This could be problematic for those hoping to buy a home at the unheard of low rates that have been the norm for the past several years. Unless one acts fast, those rates may be gone for a long while, taking home buyer hopefuls completely out of the market.
As of the writing of this article, 11/10/16 at 1:00, news has developed (according to Wall Street Journal) that mortgage rates have spiked in the wake of Trump’s election victory. Average rates on 30-year fixed conforming mortgages hit 3.85% on Thursday, climbing nearly a quarter of a percentage point since Tuesday’s market close, according to MortgageNewsDaily.com. More of the same is probably just around the corner as we can expect rates to continually go up under Trump’s administration.
A percentage rate of 3.85% is still low and is an indicator that those who are serious about buying a home should act promptly and get a rate locked in by their Loan Officer. Waiting just a little longer could cost thousands of dollars in interest and in some cases; even take more than a few buyers completely out of the market.