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McMansions era ending acooring to this article I have found

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Mortgage interest rates - how can a little actually be a lot!

Lets take a Charleston or Mt Pleasant home purchase price of $230,000 - the buyer is putting 5% down on a 30 year fixed loan at 4.5% - which I personally feel is an insanely low interest rate.

OK Simple

So we'll estimate taxes at $1000, insurance at $1500 and Flood insurance at $600 which will give us a monthly payment of approx $1365.44 with taxes and insurance

$1366 rounded up will service a $218,500 loan at 4.5%

Well, what happens if the interest jumps to 5.5%??

That payment jumps to $1499 per month - a jump of $133 .

So that still a great rate thou...

I saw this article the other day and wanted to share it with home buyers.  In addition to historically low interest rates, there are other reasons to buy a home now. 

Another reason that wasn't included on the list is that sellers are willing to make more concessions in this market.  I'm seeing this more and more.  It's not unusual for sellers to pay for a portion of a buyer's closing costs or to buy down the interest rate even further to help make a home more affordable. 

 For the full list, click here for full article

Sharon

Charleston Buyers - how to avoid the top 10 mistakes buyers make - click here for yahoo article