ULC Workshops

30 Year Mortgage Rates Remain Below 4% Heading Into September


Long term interest rates continue to follow recent forecasts. As we’ve discussed recently, the situation overseas with China’s stock market and Greek’s economy keeps the Feds from letting interest rates go up here. Rates have now settled into their lowest level since May – the interest rate on a 30 year fixed rate mortgage as of last week was just 3.84%.

“This is still an insanely low cost of borrowing money for the first time homebuyer, the move-up buyer, the re-financer, really just everyone,” said Gerard DiRuggiero, Principal Broker of UrbanLand Company. “At a time when the cost of renting is surging in DC and Baltimore, it makes sense for anyone who has viable employment and decent credit to start looking for at least a condo to replace their apartment. Getting started young or old in building equity in a local property is still your best long term source of wealth as an individual.”

“It’s a time when investing in the stock market is full of surprises, and putting your hard-earned cash into a savings account earns you almost nothing,” continued DiRuggiero. “Putting those same savings into your first home nets you a much larger return on your investment in the DC area. Places like Congress Heights and Anacostia are showing 35%+ home sales price appreciation in just 1 year alone. That’s like taking the rent check you write every month to your landlord and putting it into an account that grows in value very quickly.”

How long will interest rates stay this low? No one knows. Even the chief economist from Freddie Mac says that rates stay low but that they could go up significantly without warning. “Given the recent volatility, mortgage rates could change up or down significantly by the time this report is released. There are indications though that the unsettled state of global markets will make the Fed think twice before taking any action on short-term interest rates in September. If that’s the case, the 30-year mortgage rate may remain subdued in the short-to-medium term, providing support for continued strength in the housing sector,” said Sean Becketti.

UrbanTurf gives a great recent chart showing rate volatility since 2010.


It doesn’t take a whole lot of cash to buy a home in DC, MD or NOVA anymore. All 3 jurisdictions have $0 Down and other easy to qualify for Buyer Assistance Programs. In DC you can earn as much as $125,580/year and get your 3.5% Down Payment paid for by the city’s housing authority. NOVA has a similar $0 Down Grants program that may end this September 30, 2015. In Maryland, you have a choice of the Maryland MMP Mortgage Program with Down Payment loans and other incentives, and Baltimore just launched a city-specific program.

We’re here twice a week for those who have questions or need help with buying their first home or move-up property. UrbanLand Company Workshops are free of charge and are typically available on Tuesday evenings at 5:30pm and Saturday mornings at 10am. Please RSVP and confirm dates at

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