The mortgage loan rates are undergoing many changes at the beginning of 2017. In mid-January, the rise is widespread in each region. What to retain from this evolution on the rise? The Credither Guide enlightens you.
New mortgage rate increases in mid-January
Once again, real estate rates rise by several cents. The majority of the regional banks increase their scales from 5 cents to 20 cents. A rise which remains nevertheless moderate… However, some banks apply progressions which vary between 2 and 38 centimes.
The areas that increase the most are:
- the West with 16 scales,
- the Ile-de-France with 14 scales,
- the Rhône-Alpes-Auvergne region with 13 scales.
Still attractive real estate rates
Although lending institutions are increasing their rates, real estate rates remain at record levels. Borrowers can still finance their acquisition projects at a ” cannon rate “.
Indeed, if we compare the bank rates for the month of January 2015 (average rate of 2.60% over 20 years) with January 2017 rates (average rate of 1.70% over 20 years), the observation is without appeal: borrowers still enjoy very favorable mortgage terms.
The macroeconomic and regulatory environment has a direct impact on real estate rates and encourages banks to raise their margins.
What are the best mortgage rates in my area?
Currently, the minimum loan rates are between:
- 0.50% and 0.55% over 7 years,
- 0.75% and 0.80% over 10 years,
- 0.95% over 15 years,
- 1.15% over 20 years,
- 1.35% and 1.40% over 25 years,
- 1.95% and 2.35% over 30 years
Average rates are:
- 1.05% and 1.10% over 7 years,
- 1.20% over 10 years,
- 1.45% and 1.50% over 15 years,
- 1.70% over 20 years,
- 1.90% and 2% over 25 years,
- 2.60% and 2.70% over 30 years.
A good tip is to compare home loans to get the best rate.