Day: November 19, 2020

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Will Mortgage Rates Remain Low Next Year?

Will Mortgage Rates Remain Low Next Year? | MyKCM
Will Mortgage Rates Remain Low Next Year? | MyKCM

In 2020, buyers got a big boost in the housing market as mortgage rates dropped throughout the year. According to Freddie Mac, rates hit all-time lows 12 times this year, dipping below 3% for the first time ever while making buying a home more and more attractive as the year progressed (See graph below):When you continually hear how rates are hitting record lows, you may be wondering: Are they going to keep falling? Should I wait until they get even lower?

The Challenge with Waiting

The challenge with waiting is that you can easily miss this optimal window of time and then end up paying more in the long run. Last week, mortgage rates ticked up slightly. Sam Khater, Chief Economist at Freddie Mac, explains:

“Mortgage rates jumped this week as a result of positive news about a COVID-19 vaccine. Despite this rise, mortgage rates remain about a percentage point below a year ago.”

Will Mortgage Rates Remain Low Next Year? | MyKCM
Will Mortgage Rates Remain Low Next Year? | MyKCM

While rates are still lower today than they were one year ago, as the economy continues to get stronger and the pandemic is resolved, there’s a very good chance interest rates will rise again. Several top institutions in the real estate industry are projecting an increase in mortgage rates over the next four quarters (See chart below):If you’re planning to wait until next year or later, Mike Fratantoni, Chief Economist at the Mortgage Bankers Association (MBA), forecasts mortgage rates will begin to steadily rise:As a buyer, you need to decide if waiting makes financial sense for you.

Bottom Line

If you’re planning to buy a home and want to take advantage of today’s low rates, now is the time to do so. Don’t assume they’re going to stay this low forever.

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How to dispose of fall leaves

We all know that leaving dead leaves leaves your lea… trees susceptible to disease. This Old House leaves some hints on how to dispose of your leaves.
WHEN IN DOUBT, MULCH
“The most environmentally conscious thing to do is to leave the leaves on your lawn,” says Kurt Morrell of the New York Botanical Garden. Leaves, when left to decay in the street, will release phosphorous, which can find its way into storm drains and waterways—better to shred them finely with a mulching mower and let them fertilize the lawn. Or rake choppings under shrubs and onto flower and vegetable beds as mulch.
OR COMPOST THEM
Decaying leaves also generate carbon, which helps spin food scraps into “black gold”—good for the gardener and for the garbage collector. In a mixed pile, keep the ratio of dead leaves to grass clippings at about 2-to-1. Spread the leaves on top so they can soak up the moisture in food scraps and help keep a lid on odors; turn over regularly to discourage pests. Or just compost the leaves alone in a pile to make leaf mold.
CURBSIDE COLLECTION
[Portland has our awesome green cans, you can just put the leaves in there. The can weight limit is 135lbs. Additional Kraft paper bags, cans or bundles may be put out for an additional $3.75 each]. Be sure you know what bags are acceptable—usually those made from paper or biodegradable plant starch (like BioBag Lawn & Leaf Bags, $9.99; Target).