In a not so surprising announcement by US Federal Reserve Chairman Janet Yellen, the Fed is indicating that an interest rate hike after its April meeting is not likely. This should keep mortgage rates low for now, which in turn will keep our local real estate affordable. However, the door is clearly open for interest rate hikes in the near future. So, if you still haven’t pulled the trigger on buying a new home or condo, the Fed just bought you a little more time. I wouldn’t wait too much longer though, they can’t keep rates low forever and property values are forecast to continue increasing in our marketplace. Note: Mortgage rates have remained flat since the announcement with the 30 year fixed rate averaging 3.61% today in the state of Florida.
Watch this video for a summary of Janet Yellen’s speach: