Cincinnati Market Update

Presented by Kim Schieldknecht - LO.002028.000, MB.802245.000 of Clermont Financial Group & RME Home Sales LLC
Mortgage Market Update:

According to a published survey of national lenders, fixed mortgage rates are hovering at their lowest levels since spring. The Federal Reserve has made two rate cuts this year to ease concerns about the economy, and to spur on economic growth while maintaining inflation. Currently, the 30 year fixed rate mortgage is being offered in the low 6 percent range, while 30 year jumbo mortgages over $417,000 have been available in the low to mid 7 percent range.
The National Association of Realtors continues to report higher housing inventories across the country, making this one of the best times in recent memory for home buyers today. The combination of low rates and healthy inventory create a lot of opportunity for home investors.
Finance Q and A:
Q: What is the advantage of a balloon loan?
A: A balloon loan is a shorter term loan typically due in five to seven years. The monthly payments are kept low and are structured like those of a longer term fixed rate loan, but these payments are not enough to cover the principal when the loan matures. At the end of the loan term, the borrower must pay a lump sum amount, or balloon payment, to make up the difference.
Balloon loans have some competitive rate advantages over other types of loans and are great for borrowers who plan to move or refinance before the loan is due. For more information on balloon loans and how they work, consult your mortgage professional today!
Tip of the Month:
To optimize your purchasing power when shopping for a home, discuss your rate lock options with your lender in advance. A low interest rate can be held even if market rates go up, which could save you thousands of dollars over the life of your loan. Ask your mortgage professional about these options today and make the most of your next purchase!

Kim Schieldknecht - LO.002028.000, MB.802245.000Clermont Financial Group & RME Home Sales LLC726 Mohawk Trail & 5720 gateway blvd #204Milford & Mason, OH 45150(513)587-3599http://www.clermontfinancial.com/