Personal Lending Group Says 2016 is a Year to Purchase a Home

    IRVINE, CA, January 28, 2016 /24-7PressRelease/ -- The Fed's December rate hike could send mortgage rates up slightly this year, but it shouldn't be enough to deter homebuyers in 2016 as the housing market continues to rebound, according to a recent survey of prospective homebuyers by the National Association of Realtors.

The .25-percent federal rate increase, the first in almost a decade, helped raise the average 30-year fixed rate mortgage to just 3.9 percent at year's end, and is forecast by the NAR to reach 4.7 percent by the end of 2016. Fed officials expect four rate hikes this year, so if you're planning to seek a mortgage loan or refinance your mortgage this year, the earlier in the year the better.

Rates are likely to keep climbing next year.
As for this year, some observers, such as Dallas Fed president Robert Kaplan, have said they aren't so sure there will be four rate hikes because of the recent volatile swings in China's stock market and currency valuation.

But even if the four increases do occur, mortgage rates will still be very low by historical standards. After all, the December hike ended seven years of near-constant interest rates following the financial crisis and recession of 2007-2009.

Even bigger obstacles than interest rates for prospective homebuyers are credit standards that remain too tight following the crisis, the NAR survey respondents said.

Lenders' skittishness was more understandable immediately following the crisis, but we're now nearly a decade removed from it. Overly restrictive credit standards won't help this country continue its recovery, and with more people enjoying steady employment, single-family housing demand should continue growing.

At Personal Lending Group, we pride ourselves in giving more consumers a fair chance at realizing the American dream of home ownership. We're part of the solution, not the problem. Whether you're buying a new home or just looking to refinance your existing mortgage, we have multiple terms available to suit your specific needs.

Yet another important factor weighing in favor of homebuying in 2016 are rising rents. Buying a home is more affordable than renting in 58 percent of U.S. markets, according to a recent study by RealtyTrac. The report also found that rents are rising faster than wages in 57 percent of markets.

At the same time, home prices are rising even faster. They grew an average of 5 percent in the third quarter of 2015, compared to a year prior, and experts expect that trend to continue.

With our low down-payment options, still-affordable interest rates and flexibility to get you approved, Personal Lending Group stands ready to help you buy a home in 2016.

Personal Lending Group is committed to bring you personal financial security by connecting you with the right lender- regardless of your financial history. We seek to streamline your application process and offer you low fixed rates with a single affordable monthly payment. Say good-bye to financial stress and hello to peace of mind. Gain control of your financial future today!

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