You probably know that mortgage rates are going up. After of many years of amazingly low interest rates, things are beginning to move up. There are positive signs that home buyers can take to heart.

New survey data indicate that many buyers remain optimistic about the housing market. Consumer confidence numbers from the University of Michigan also suggest that buyers feel more positive about their prospects. That’s despite their belief that rates and prices will likely rise. This confidence is a good sign, even though buyers expect tighter financing and inventory.

Get the latest facts. And crunch the numbers. You may learn that you’re better positioned to buy a home than you think—even if rates and prices climb this year.
Among the survey’s key findings:

•Only 6 percent of buyers said they would cancel their plans if mortgage rates surpassed 5 percent. This suggests that most buyers can handle slight rate increases. It also implies that buyers are putting rates in proper perspective: that even a rate close to 5 percent is still near historical lows.

•21 percent would look in other areas or buy a smaller home if rates exceeded 5 percent.

•25 percent said rates going over 5 percent would have no impact on their plans.

•Over three in four (77 percent) expect home prices in their area to rise in the next year.
The good news here, said Redfin chief economist Nela Richardson in a prepared statement, is that “Still-low interest rates somewhat offset high prices for some buyers.” Redfin reported that the average 30-year fixed mortgage rate exceeded 4 percent in January and has been slowly going up; rates hovered below 4 percent in late 2017.

However, “there are still many more buyers than the current housing supply can support, with no major relief in sight,” added Richardson

Ruth Schoenherr is a mortgage broker who will help you find home loans in the Clearwater, Palm Harbor, Largo, Safety Harbor, St Petersburg and Tampa Bay area. For more information, go to her web site at www.ClearwaterMortgageBroker.net.