Las Vegas Market Watch

Rising Mortgage Rates - No Cause for Panic

July 18, 2013
By Ray Sandoval
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Interest Rates Rising

Interest Rates Rising - Don't Panic

When low mortgage rates increase, buyers start buying. That is a historical fact. The rates will not soar in the near future. The interest rates have been edging up with the news of home prices rising and with the economic good news.

Employers have added 202,000 jobs last month up from 180,000 in the previous six months. As a result there is increased income which boosts consumer spending and that is 70% of the economic activity indicator.

The mortgage rate for a 30 year fixed loan was up to 4.46% in June. According to Freddie Mac, that is the first time since March 2012 that the rate has gone over 4%.

Examples of the effect:

  • $100,000 Payment of Principal and Interest
  • 4.0%       Monthly Payment - $477.42
  • 4.46%     Monthly Payment - $504.31
  • 5.0%       Monthly Payment - $537.00

The difference in the payment from 4% to 5% is less than $60 per $100,000 loan value. The interest rates are still historically low and housing is still very affordable.

Home Values

The prices are increasing which makes Americans feel better about spending money. The increase in the home market adds more construction jobs.

The housing market continues to gain momentum. This is definitely a good sign that things are stabilizing.

Time To Buy It is time to buy if you are going to buy. If you buy now rather than later, you will pay less for your mortgage and be able to buy "more house" for your dollar.


Search For Homes - Find Homes In your Price Range.

* Note On The power Of "Search Property"


Loan Options - FHA And VA

Mortgage Questions

FHA and VA will work for you if you do not want to make a larger down payment.

If you are planning to buy and then move up in 5 years, there are adjustable rate mortgages. The rates will not adjust for 5 or 10 years depending on the option you choose.

Try the "easy to use" Loan selection of the Mortgage Calculator for different down payment scenarios.

SELLERS - Homes Selling Quicker

Homes are sold quicker and close to list price or even above when the inventory of available homes for sale is low.

If you've been on the fence about selling your current home so you can move up (or even downsize), now might be the time to get it sold. Your equity increases as prices increase.

If your home is in good condition and it's priced right, it more than likely will sell fast and for top dollar.

Consider selling now for top dollar and buying another home while the interest rates are so low.

Email us for a market value of your home.

Rising mortgage rates won't put the brakes on the housing market. The only challenge in the current low-inventory market is finding the right home!

Downpayment On A Home

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We can show you how the interest rates affect your buying power and principal reduction over time.

Contact us today - to help you with your options.


National Housing - Current State

The current state of housing across the 52 states is picking up momentum.

As momentum increases, the days that a home is on the market (DOM) is reduced to 70 days average nationwide.

American wealth increases when home prices increase which makes sellers more likely to sell to move up or downsize.

Buyers are more likely to buy to take advantage of the affordable prices and low interest rates.

Looking Forward - Stability In the Market

Increasing Houses

More sellers are selling and more buyers are buying. This represents a stable market.

Experts report that last year was a turnaround year. 2013 marks the road to sustainability in the housing market.


Unlike Zillow, Trulia and, the Property Search provides only current information tagged properly for your fast and easy assessment of the homes based on your criteria. Recently sold homes are shown for price comparisons.

Search Options Include: Include Contingencies- Include Sold Properties- Bank Owned Only- Foreclosures Only- Short Sales Only

July 18, 2013
By Ray Sandoval