Cape Coral Florida's Real Estate Guide

Last quarter, Fannie Mae and Freddie Mac posted multi-billion dollar losses. This scared investors and triggered them to require ultra high premium returns in exchange for buying the Fannie/Freddie debt. So what did that mean for the real estate & mortgage markets? Well, mortgage rates increased to above 6%, stifling new and existing home sales.  Luckily, the U.S. government stepped in and reassured investors that their backing of Fannie Mae and Freddie Mac is no joke, causing investors to relax and take lower premiums. Lower premiums for investors mean savings on mortgage rates for home buyers like you. Let's take a look at the current mortgage rates.

Currently, the rate for a 30 year fixed rate mortgage is 5.47% and the rate for a 15 year fixed rate mortgage is 5.13%. Rates for a 30 year fixed rate mortgage have dropped by a full half of a percentage point! With rates in the 5% range and home prices at an all-time low, many people understand that this is the time to buy and/or invest in real estate. People have already begun to take advantage of this situation-mortgage applications are on the rise. There has been a 37% increase in conventional loan applications and a 39% increase in FHA-insured loan applications according to the Mortgage Bankers Association.

As I have said before, now is the time to buy real estate in Cape Coral. Now that mortgage rates are at an affordable level, there is no better time to take advantage of the current real estate market. Beautiful homes in Cape Coral, Ft. Myers, Bonita Springs, and Estero are available for a fraction of prices. Take a look at homes for sale in these areas using the FREE property search provided here or contact me for a personal consultation today!