Today our current median sales price in the 13 county metro is $150,000. The last time our median price was that low was back in 2000 when interest rates were hovering around 8%.
Our current median sales price is $150,000 but interest rates are at an all time low.
Take a look at this comparison –
$150,000 at 8% for a 30 year fixed mortgage would produce a principal and interest payment of $1100.94
$150,000 at 5% for a 30 year fixed mortgage would produce a principal and interest payment of $805.23
So today, you could purchase the same house for $295.71 less per month, than in 2000. If you factor in the $8000.00 first time home buyer tax credit, it’s even better than that!
