Experts recommend purchasing home now, mortgage rate increasing

Experts recommend purchasing home now, mortgage rate increasing

MIDLAND-ODESSA, TX (KWES) - For the second time in three months, the Federal Reserve has hiked up the interest rate. If you're looking into buying a home, you might want to do it now.

Even though mortgage rates are a little bit higher than usual, experts predict they will keep going up over the next four years.

Oil prices are up and so is the economy, that means the current mortgage rates are something you want to take advantage of.

"A house that you qualify in today, you might not get it a year from now," said Brenda Worthen, Branch Manager of Prime Lending.

Worthen has been a lender for 30 years and has seen interest rates as high as 15 percent. Most recently, she saw rates about a point higher since Election Day.

"The word on the street is interest rates are going up and the fed keeps hiking the rates, the truth is the rates did go up for mortgage loans after the election but they are still good," said Worthen. "They're still low, some under five percent, some under four."

Before the election, rates were at an all-time low. So even though they're higher in 2017, you're going to get the best deal on a home this year.

"If you're looking in the next few years, I would do it now," said Worthen. "The housing market is really strong right now, there's houses on the market, there's new construction options, the rates are not a reason not to buy."

Worthen said after Election Day, major investors left the bond market and invested in the stock market, making long term interest rates go up.

Worthen expects rates to keep going up gradually over the next three to four years but it's unknown exactly how much.

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