Mortgage brokers say now is the best time to buy - WTVM.com-Columbus, GA News Weather & Sports

Mortgage brokers say now is the best time to buy

By Curtis McCloud -   bio | email

COLUMBUS, GA (WTVM) - As of last Friday, Steffanie Ramsey became the owner of brand new home. Ramsey says that low interest rates prompted her decision to go ahead and invest in a new home.

"I had a 4.25% rate and they said especially with my age and being a first-time home owner, that was very low, which gave me a great deal on a house."

According to Coldwell Mortgage, current interest rates hover at about 4.18%. Clay Duncan with Coldwell Banker says now is the best time to buy a home or refinance.

"It's very a very good time to buy right now, mortgage rates have been at an all time low, they do fluctuate daily, but they've been under five for a good time, " said Duncan. 

If you have a 5% interest rate on a $200,000 loan, your monthly payment would be $1,070, If you refinance at 4% that would drop $95 per month.

"Compared to what I was paying in rent, I'm paying this person almost what I would pay to own my own house so I figured I should jump into it," Ramsey said.

If you are looking to buy a home for the first time you are probably concerned about the down payment. If you have ever served in the military a VA loan might work for you. It doesn't require a down payment.

Another loan is the FHA loan requires a small down payment. If you choose a conventional loan you may have to have a down payment of 20%

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