Hoe does interest affect home buying power?
We all know that higher interest means higher payments. But what does that mean in real world numbers? The following infographic shows just that. A 1 point jump in interest basically means 10% less house when looking at a $700,000 house. The highlighted numbers in the table show what the same payment buys across a range of home prices.
What does it mean to me right now?
As we are foreseeing a slight bump in interest in the next year, you might want to consider making your jump now to get the most house you can.