Latest news with #buyers
Yahoo
3 hours ago
- Business
- Yahoo
Mortgage and refinance interest rates today, June 28, 2025: Rates nosedive since last weekend
Today's mortgage rates have plummeted since last Saturday. According to Zillow, the average 30-year fixed mortgage rate has decreased by 24 basis points to 6.53%, and the 15-year fixed rate is down 34 basis points to 5.71%. Economists don't expect rates to drop too drastically this year. In fact, many predict 30-year mortgage rates will stay over 6% through 2026. So, any decrease in rates is good news for buyers. This could be a good weekend to start applying for preapproval with a few mortgage lenders and shopping for houses. Read more: What determines mortgage rates? It's complicated. Here are the current mortgage rates, according to the latest Zillow data: 30-year fixed: 6.53% 20-year fixed: 6.08% 15-year fixed: 5.71% 5/1 ARM: 7.00% 7/1 ARM: 7.08% 30-year VA: 6.12% 15-year VA: 5.45% 5/1 VA: 6.16% Remember, these are the national averages and rounded to the nearest hundredth. Learn more: 8 strategies for getting the lowest mortgage rates These are today's mortgage refinance rates, according to the latest Zillow data: 30-year fixed: 6.61% 20-year fixed: 6.21% 15-year fixed: 5.86% 5/1 ARM: 7.19% 7/1 ARM: 7.22% 30-year VA: 6.17% 15-year VA: 5.89% 5/1 VA: 5.90% Again, the numbers provided are national averages rounded to the nearest hundredth. Mortgage refinance rates are often higher than rates when you buy a house, although that's not always the case. Use the mortgage calculator below to see how today's interest rates would affect your monthly mortgage payments. For a deeper dive, you can use Yahoo's free mortgage calculator to see how homeowners insurance and property taxes factor into in your monthly payment estimate. You even have the option to enter costs for private mortgage insurance (PMI) and homeowners' association dues if those apply to you. These details result in a more accurate monthly payment estimate than if you simply calculated your mortgage principal and interest. There are two main advantages to a 30-year fixed mortgage: Your payments are lower, and your monthly payments are predictable. A 30-year fixed-rate mortgage has relatively low monthly payments because you're spreading your repayment out over a longer period of time than with, say, a 15-year mortgage. Your payments are predictable because, unlike with an adjustable-rate mortgage (ARM), your rate isn't going to change from year to year. Most years, the only things that might affect your monthly payment are any changes to your homeowners insurance or property taxes. The main disadvantage to 30-year fixed mortgage rates is mortgage interest — both in the short and long term. A 30-year fixed term comes with a higher rate than a shorter fixed term, and it's higher than the intro rate to a 30-year ARM. The higher your rate, the higher your monthly payment. You'll also pay much more in interest over the life of your loan due to both the higher rate and the longer term. The pros and cons of 15-year fixed mortgage rates are basically swapped from the 30-year rates. Yes, your monthly payments will still be predictable, but another advantage is that shorter terms come with lower interest rates. Not to mention, you'll pay off your mortgage 15 years sooner. So you'll save potentially hundreds of thousands of dollars in interest over the course of your loan. However, because you're paying off the same amount in half the time, your monthly payments will be higher than if you choose a 30-year term. Dig deeper: 15-year vs. 30-year mortgages Adjustable-rate mortgages lock in your rate for a predetermined amount of time, then change it periodically. For example, with a 5/1 ARM, your rate stays the same for the first five years and then goes up or down once per year for the remaining 25 years. The main advantage is that the introductory rate is usually lower than what you'll get with a 30-year fixed rate, so your monthly payments will be lower. (Current average rates don't necessarily reflect this, though — in some cases, fixed rates are actually lower. Talk to your lender before deciding between a fixed or adjustable rate.) With an ARM, you have no idea what mortgage rates will be like once the intro-rate period ends, so you risk your rate increasing later. This could ultimately end up costing more, and your monthly payments are unpredictable from year to year. But if you plan to move before the intro-rate period is over, you could reap the benefits of a low rate without risking a rate increase down the road. Learn more: Adjustable-rate vs. fixed-rate mortgage First of all, now is a relatively good time to buy a house compared to a couple of years ago. Home prices aren't spiking like they were during the height of the COVID-19 pandemic. So, if you want or need to buy a house soon, you should feel pretty good about the current housing market. However, mortgage rates are unpredictable right now due to the political and economic climate. Experts don't think rates will plummet in 2025, so you might not want to base your decision on whether to buy strictly on interest rates. Recent news that home price gains are slowing, with predictions that house values may actually ease lower this year, can be part of your home buying decision. The best time to buy is typically whenever it makes sense for your stage of life. Trying to time the real estate market can be as futile as timing the stock market — buy when it's the right time for you. Read more: Which is more important, your home price or mortgage rate? According to Zillow, the national average 30-year mortgage rate is 6.53% right now. But keep in mind that averages can vary depending on where you live. For example, if you're buying in a city with a high cost of living, rates could be higher. Overall, mortgage rates are expected to tick down slightly in 2025. There may be days (like today) when rates go down more significantly, but they won't necessarily stay lower when this happens. Mortgage rates have dropped since last weekend, though they're still well above 6%. In many ways, securing a low mortgage refinance rate is similar to when you bought your home. Try to improve your credit score and lower your debt-to-income ratio (DTI). Refinancing into a shorter term will also land you a lower rate, though your monthly mortgage payments will be higher.
Yahoo
6 hours ago
- Business
- Yahoo
Mortgage and refinance interest rates today, June 28, 2025: Rates nosedive since last weekend
Today's mortgage rates have plummeted since last Saturday. According to Zillow, the average 30-year fixed mortgage rate has decreased by 24 basis points to 6.53%, and the 15-year fixed rate is down 34 basis points to 5.71%. Economists don't expect rates to drop too drastically this year. In fact, many predict 30-year mortgage rates will stay over 6% through 2026. So, any decrease in rates is good news for buyers. This could be a good weekend to start applying for preapproval with a few mortgage lenders and shopping for houses. Read more: What determines mortgage rates? It's complicated. Here are the current mortgage rates, according to the latest Zillow data: 30-year fixed: 6.53% 20-year fixed: 6.08% 15-year fixed: 5.71% 5/1 ARM: 7.00% 7/1 ARM: 7.08% 30-year VA: 6.12% 15-year VA: 5.45% 5/1 VA: 6.16% Remember, these are the national averages and rounded to the nearest hundredth. Learn more: 8 strategies for getting the lowest mortgage rates These are today's mortgage refinance rates, according to the latest Zillow data: 30-year fixed: 6.61% 20-year fixed: 6.21% 15-year fixed: 5.86% 5/1 ARM: 7.19% 7/1 ARM: 7.22% 30-year VA: 6.17% 15-year VA: 5.89% 5/1 VA: 5.90% Again, the numbers provided are national averages rounded to the nearest hundredth. Mortgage refinance rates are often higher than rates when you buy a house, although that's not always the case. Use the mortgage calculator below to see how today's interest rates would affect your monthly mortgage payments. For a deeper dive, you can use Yahoo's free mortgage calculator to see how homeowners insurance and property taxes factor into in your monthly payment estimate. You even have the option to enter costs for private mortgage insurance (PMI) and homeowners' association dues if those apply to you. These details result in a more accurate monthly payment estimate than if you simply calculated your mortgage principal and interest. There are two main advantages to a 30-year fixed mortgage: Your payments are lower, and your monthly payments are predictable. A 30-year fixed-rate mortgage has relatively low monthly payments because you're spreading your repayment out over a longer period of time than with, say, a 15-year mortgage. Your payments are predictable because, unlike with an adjustable-rate mortgage (ARM), your rate isn't going to change from year to year. Most years, the only things that might affect your monthly payment are any changes to your homeowners insurance or property taxes. The main disadvantage to 30-year fixed mortgage rates is mortgage interest — both in the short and long term. A 30-year fixed term comes with a higher rate than a shorter fixed term, and it's higher than the intro rate to a 30-year ARM. The higher your rate, the higher your monthly payment. You'll also pay much more in interest over the life of your loan due to both the higher rate and the longer term. The pros and cons of 15-year fixed mortgage rates are basically swapped from the 30-year rates. Yes, your monthly payments will still be predictable, but another advantage is that shorter terms come with lower interest rates. Not to mention, you'll pay off your mortgage 15 years sooner. So you'll save potentially hundreds of thousands of dollars in interest over the course of your loan. However, because you're paying off the same amount in half the time, your monthly payments will be higher than if you choose a 30-year term. Dig deeper: 15-year vs. 30-year mortgages Adjustable-rate mortgages lock in your rate for a predetermined amount of time, then change it periodically. For example, with a 5/1 ARM, your rate stays the same for the first five years and then goes up or down once per year for the remaining 25 years. The main advantage is that the introductory rate is usually lower than what you'll get with a 30-year fixed rate, so your monthly payments will be lower. (Current average rates don't necessarily reflect this, though — in some cases, fixed rates are actually lower. Talk to your lender before deciding between a fixed or adjustable rate.) With an ARM, you have no idea what mortgage rates will be like once the intro-rate period ends, so you risk your rate increasing later. This could ultimately end up costing more, and your monthly payments are unpredictable from year to year. But if you plan to move before the intro-rate period is over, you could reap the benefits of a low rate without risking a rate increase down the road. Learn more: Adjustable-rate vs. fixed-rate mortgage First of all, now is a relatively good time to buy a house compared to a couple of years ago. Home prices aren't spiking like they were during the height of the COVID-19 pandemic. So, if you want or need to buy a house soon, you should feel pretty good about the current housing market. However, mortgage rates are unpredictable right now due to the political and economic climate. Experts don't think rates will plummet in 2025, so you might not want to base your decision on whether to buy strictly on interest rates. Recent news that home price gains are slowing, with predictions that house values may actually ease lower this year, can be part of your home buying decision. The best time to buy is typically whenever it makes sense for your stage of life. Trying to time the real estate market can be as futile as timing the stock market — buy when it's the right time for you. Read more: Which is more important, your home price or mortgage rate? According to Zillow, the national average 30-year mortgage rate is 6.53% right now. But keep in mind that averages can vary depending on where you live. For example, if you're buying in a city with a high cost of living, rates could be higher. Overall, mortgage rates are expected to tick down slightly in 2025. There may be days (like today) when rates go down more significantly, but they won't necessarily stay lower when this happens. Mortgage rates have dropped since last weekend, though they're still well above 6%. In many ways, securing a low mortgage refinance rate is similar to when you bought your home. Try to improve your credit score and lower your debt-to-income ratio (DTI). Refinancing into a shorter term will also land you a lower rate, though your monthly mortgage payments will be higher.
Yahoo
2 days ago
- Business
- Yahoo
XRP Breaks Out Above $2.20 With Triple Volume Surge
XRP pushed decisively above $2.20 resistance in the latest session, gaining nearly 2% on the back of surging trading volume and improving macro conditions. After days of subdued action, the token surged 1.56% in the final hour of trading, backed by more than triple its 24-hour average volume — suggesting renewed conviction among buyers and a possible shift in trend momentum. The breakout comes amid a rare bout of calm in global markets following ceasefire announcements across key geopolitical flashpoints, including Iran and Israel. Markets had been jittery for weeks as risk assets reeled from rising tensions, with XRP dropping to as low as $1.90 before staging a 14% recovery in recent sessions. Technical analysts note that XRP has broken out of a descending wedge pattern and is now testing new support near the $2.22–$2.23 zone. The move was bolstered by heavy buying during the 13:00 UTC hour on June 25, when volume spiked above 107 million XRP. That surge included several sharp intra-hour bursts, including a 1.63% rally on 7.8 million volume at 13:18 and a 13-million-unit spike at 13:44 that confirmed the breakout. This move also repositions XRP within a long-form symmetrical triangle pattern that's been forming for 334 days. With technical compression nearing its limit, some analysts now eye an upside breakout into the $5–$10 range — if momentum can be sustained into Q3 2025. XRP traded within a $0.04 range over the last 24 hours, from $2.19 to $2.23. The most decisive action occurred during the 13:00–14:00 UTC hour on June 25, when XRP surged from $2.19 to $2.23, closing the hour near session highs with strong volume support. Support has now formed near $2.22–$2.23, with sellers unable to push prices meaningfully lower despite earlier whale activity, including a $58 million transfer to Coinbase. Traders are watching whether this zone can hold and potentially serve as the launchpad for a fresh leg higher. • XRP gained 1.78% over 24 hours, from $2.19 to $2.23• Triple-average volume breakout during 13:00 UTC hour—over 107M XRP traded• Breakout confirmed by back-to-back spikes at 13:18 (+1.63%) and 13:44 (+13M volume)• New support formed at $2.22–$2.23, following strong hourly close above resistance• Long-term symmetrical triangle now 334 days old, with breakout window narrowing• RSI and MACD indicate rising bullish divergence; $2.14 was previous key resistance 登入存取你的投資組合
Bloomberg
2 days ago
- Business
- Bloomberg
Affordability Crisis Exacerbates California's Housing Divide
Welcome to Bloomberg's California Edition—covering all the events shaping one of the world's biggest economies and its global influence. Join us each week as we put a unique lens on the Golden State. Sign up here if you're not already on the list. California's Bay Area is in the throes of an affordability crisis so intense that families are moving out and draining schools. Yet even as some residents flee, deep-pocketed buyers are descending on the region in a striking rebound.
Yahoo
3 days ago
- Business
- Yahoo
Can you use home equity to buy another house?
You can use home equity to buy another house if you have enough of an ownership stake in your residence and meet other eligibility requirements. The most common ways to tap your equity are via a home equity loan or home equity line of credit (HELOC). Purchasing property with home equity can be cost-effective and make you a more competitive buyer. But it comes with certain risks and downsides: trading assets for debts, losing tax deductions, and risking your home if you miss payments. For homeowners, home equity is an incredibly valuable asset – so valuable, in fact, that they can even tap it to buy a second home, either outright or in part. Depending on the size of their ownership stake, they can access as much as $1 million via a home equity loan or home equity line of credit (HELOC). Can you use home equity to buy another residence? Sure, if you have enough equity and meet the eligibility requirements. But perhaps a better question is: Should you use a HELOC or home equity loan to buy a second home? While often convenient and cost-effective, it also comes with certain risks. Let's explore how this financing method works, including its pros, cons and alternatives. If you'd like to tap your home equity to purchase a second home, you've got several options. The two most common are a home equity loan and a HELOC. While there are similarities between these two products (for example, they're both second mortgages that require you to put your house up as collateral), there are also important differences. Here's how each one works. Characteristics Home equity loans HELOCs Distribution of funds In one lump sum. In a line of credit (like a credit card), so you can withdraw it gradually. Interest rate Fixed interest rate over the lifetime of the loan. Variable interest rate that rises or falls based on the prime rate. Amount you can borrow 80-85% of equity stake. 80-95% of equity stake. Loan repayment Immediately begin paying both principal and interest in monthly installments over the term, which can be up to 30 years. Draw period (the first 5–10 years): Option to only pay interest on what you've period (next 10–20 years): Pay back the principal and additional interest. Not sure whether you should use your equity to purchase a second home? Here are the advantages and the drawbacks. You won't have to touch your savings. By taking out a home equity loan or HELOC, you can get the cash you need to buy another home, without depleting your bank or investment account. You can keep your current home/mortgage. You don't need to sell or rent out your house to get funds for another home purchase and can leave your low-interest-rate mortgage, if you have one, untouched. You'll be a more competitive buyer. With the funds from your home equity loan, you can make a larger down payment on a new home — or even buy it outright. (See 'Using home equity for down payments' below.) That could make you more attractive to sellers. You can potentially borrow at a lower cost. Home equity loans and HELOCs are secured by your property. As a result, they tend to have lower interest rates than unsecured loans, like personal loans. Your exact interest rate will depend on your financial profile and lender, of course. You'll have a long time to repay. Home equity loans and HELOCs generally have long repayment periods, often up to 30 years. You could lose your home. Your primary residence serves as collateral for your home equity loan or HELOC. If you can't repay it, your lender could take your house. You're trading in hard-earned equity for more debt. In addition to your existing mortgage, you'll also be responsible for the home equity loan or HELOC, as well as any mortgage on your new property. That's a lot of debt to deal with, especially if you're one of the 73 percent of Americans in Bankrate's Emergency Savings Report who say they're saving less for unexpected expenses these days due to inflation/rising prices, elevated interest rates or a change in income/unemployment. Or the collective 43 percent who say they'd have to pay for an emergency by borrowing money in some form: either with a credit card (25 percent), from family or friends (13 percent), or via a personal loan 95 percent). You might end up underwater. If you give up a big chunk of your equity and property values decline, you could end up owing more on your home than it's worth (especially if you have multiple home-secured loans). As a result, you'd go into negative equity – otherwise known as being underwater on your mortgage. You're on the hook for closing costs. Like primary mortgages, home equity loans and HELOCs come with closing costs. On average, these costs range from 2 to 5 percent of your total loan amount; sometimes, they're closer to 1 percent. Still, it's an additional expense. You might pay more interest. While cheaper than unsecured debt, second mortgages carry higher interest rates than primary mortgages and refinances. You will probably also lose some tax advantages (see below). If the use is for a second home, you might lose out on one fundamental plus of home equity financing: the ability to deduct the loan interest come tax time. The IRS stipulates that for the interest to be deductible, the loan must be used to buy, build or substantially improve the residence that secures the loan. So, if you use your primary residence as collateral for an HE Loan or HELOC, and then put the money to buy a beach bungalow or mountain cabin, you can't take a tax deduction on the interest. The idea is, you're supposed to be enhancing your current home — the one you're borrowing against. There's one way the tax break might still apply with a second-home purchase, says Dennis Shirshikov, head of content at a real estate investment platform: 'Buying adjacent land or property can be considered part of this [home enhancement], especially if it's demonstrable that such an acquisition improves or complements the value or utility of the main residence.' For example, you use home equity funds to acquire some wooded acres behind your place to clear and build a little guest house; or you buy the house next door and connect it to your residence. Shirshikov recalls a case where a homeowner used a home equity loan to purchase a vacant lot adjacent to their primary home. 'The rationale was that this purchase prevented a potentially obstructive development on that land, thereby preserving the home's view and value,' he says. 'The IRS accepted this as a substantial improvement to the residence.' Even without a tax break, a home equity loan or HELOC could provide handy funds to fix up and run a second place. Home maintenance requires a considerable outlay these days, averaging over $8,800 a year, according to Bankrate's Hidden Costs of Homeownership Study. People often overlook these routine repair and upkeep expenses when budgeting to buy a home – and perhaps that's why Bankrate's 2025 Homeowner Regrets Survey found that those with regrets about their home purchase most commonly named maintenance and other hidden costs. Specifically, 42 percent of them cited these costs as being more expensive than they anticipated. Given the realities of today's real estate market, coming up with down-payment cash is a big sticking point for would-be buyers. According to Bankrate's 2025 Down Payment Survey, over four-fifths (81 percent) of aspiring homeowners say down payment and closing costs pose a 'very significant' or 'somewhat significant' obstacle to owning a home some day. It's a key reason they're holding off on home-buying. $55,500 The median down payment for a U.S. home in February 2025, about 15% of the median sales price ($374,344). That amount is up 11% year-over-year. Source: ATTOM If you have trouble coming up with a down payment, then tapping into your home equity could be worth considering. Just one catch: Not all lenders will let you put home equity money towards a new home if you're financing the rest of it with a mortgage. There isn't a widespread industry rule against it, says Matt Dunbar, senior vice president, southeast region for Churchill Mortgage. But, because a down payment is supposed to be a cash contribution, an issue can arise if the money has strings attached. 'The critical aspect for lenders when evaluating such scenarios is ensuring the borrower's debt-to-income (DTI) ratio accurately reflects all financial obligations, including the new debt incurred from the HELOC' or HE Loan, he explains. Dunbar recommends getting and depositing the home equity money well before your mortgage application, to give the funds time to season (and for your credit report to reflect the debt). You might also double-check the fine print of your home equity loan or HELOC contract, to make sure it doesn't prohibit buying or investing in real estate. You can also use equity to purchase an investment property — real estate you're going to sell or rent out for income. As noted above, make sure you're working with a lender that lets you put your home equity loan funds towards this sort of purpose: Though it's getting more common, the norm for many financial institutions, like retail banks and credit unions, is to limit home equity financing to primary homes, says Jay Garvens, head of the Colorado Springs-based Garvens Group of Churchill Mortgage. Look to other lender types: 'Stand-alone mortgage companies will allow HELOC funds to be used for a second home or an investment property,' he notes. The biggest benefit: If you've built up a lot of equity, your home equity loan or HELOC lets you access a large amount of money. That's important when buying investment properties, which have stricter eligibility criteria than second homes and typically require a 15 to 25 percent down payment. At the same time, there are risks involved in using equity to finance an investment property. Ideally, your new property will generate consistent income (via its rents or leases) to help you repay your home equity loan or HELOC on time – but, unfortunately, that's not guaranteed. Let's say you remodel your new investment property with the intent to sell it for a profit. What happens if you can't attract a qualified buyer? Or, what if you put a house on the rental market but struggle to find a reliable tenant? In either case, you'll still be responsible for paying back what you've borrowed – and if you can't afford it, you could lose your property. Home equity loans and HELOCs are a popular financing tool these days – but they aren't your only option. In fact, 'just because you can, doesn't mean you should,' says Greg McBride, chief financial analyst at Bankrate. 'You may have a pile of equity in your primary home, but borrowing from that equity to purchase a second home is a costly proposition. This is a high cost of borrowing that puts your primary home on the line in the event of default.' If you do think twice before tapping it, alternatives do exist. Some of these options offer funding for most of the purchase; others are more to cover the upfront expenses (down payment, closing costs). They include: New mortgage: 'In most cases, prospective second-home buyers would be better off taking a mortgage on the property they're acquiring instead,' says McBride. Since the new place is the collateral, the mortgage interest will be tax-deductible if you itemize (up to the overall mortgage-debt limit, which tallies all your home loans). Of course, you'll need enough cash on hand to cover the down payment. Retirement savings: You might be able to put as much as $50,000 towards a second home by taking out a loan from your 401(k) plan (assuming your plan offers the option). You'll have five years to repay it (less if you leave your job), without penalties or paying taxes. Personal loans: With a personal loan, you can typically borrow as much as $50,000; some lenders will even offer up to $100,000 for qualified applicants — enough to get you over the finish line in an all-cash deal. However, personal loans tend to have higher interest rates than home equity products. Also, most lenders won't let you use an unsecured personal loan on a mortgage-financed purchase. Cash-out refinance: When you take out a cash-out refinance, you'll replace your current mortgage with a bigger one. The new loan will include your remaining mortgage balance, as well as a portion of the equity you've built over the years — which you receive in a cash payout to use immediately. Reverse mortgage: If you're 62 or older and have substantial equity in your home, you could swap some of that equity for cash with a reverse mortgage. Under this arrangement, you'll receive tax-free payments from your lender, which must be repaid when you move out, sell your home or pass away. Private lending/investing: You might also consider borrowing from a peer-to-peer (P2P) lender for your home purchase. Another option: a shared equity agreement, in which an investment company gives you a lump sum in exchange for a piece of your primary home's future (presumably appreciated) value. How long do I have to wait until I can sell my house after taking out a home equity loan? There's no set length of time, but you'll need to repay the balance on your home equity loan when you sell (or technically, close). Ideally, you'll earn enough money from the sale to pay off the remainder of your loan, as well as whatever's left on your primary mortgage. However, if the proceeds won't be enough to settle these debts, you may want to hold off on selling until you increase your equity stake, so the money from the sale can fully cover your loan balance. Bankrate's home equity calculator can help you figure out your break-even point. Does a home equity loan put me upside down on my mortgage? Not necessarily, and not often — one big reason lenders limit the amount of home equity you can borrow against is to ensure you don't end up owing more on your home than what it's worth. But becoming upside down or underwater can happen if your home's value drops significantly after taking out the loan, making it worth less than the sum total of all your home-secured debts. Is it better to take the money in a lump sum (a home equity loan) or to use a HELOC when purchasing a second home? It depends on your plans and goals for the new place. If you only need a certain amount of money for a down payment and prefer a predictable schedule of fixed repayments, a home equity loan is a better bet. On the other hand, maybe you want to renovate the property within the next couple of years, but you aren't sure how much it'll cost. In that case, you might take out a HELOC to both buy and fix up your second home, since it lets you withdraw money on an ongoing basis as needed. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
