April saw mortgage rates increase across the United States, but that doesn’t mean that borrowers have to give up on their dreams of home ownership. In fact, there are more options than ever for those looking to purchase a home.
Mortgage rates rose to an average of 4.17% in April, according to the Mortgage Bankers Association. This is the highest rate since October 2018. Despite the increase, the current rate is still lower than the historical average of 8.12%.
The good news is that there are still plenty of options available for borrowers who want to buy a home. For example, adjustable-rate mortgages (ARMs) can be a great way to secure a lower rate. ARMs typically offer a lower initial rate than fixed-rate mortgages, and they can be a good option for those who plan to move in a few years or who are looking to save money in the short-term.
Another option for borrowers is to look for lenders who offer special programs or discounts. Many lenders offer discounts for veterans, first-time home buyers, and those with good credit scores. Additionally, some lenders offer special programs such as down payment assistance or grants for those who qualify.
Finally, borrowers should consider refinancing their existing mortgage if they can get a better rate. Refinancing can be a great way to save money over the long-term, as it can lower your monthly payments and reduce the amount of interest you pay over the life of the loan.
In short, while mortgage rates have increased in April, there are still plenty of options available for borrowers who want to purchase a home. From adjustable-rate mortgages to special programs and discounts, there are plenty of ways to save money and secure a lower rate.