The California Association of Realtors reports that mortgage interest rates are at a high in 2006. In fact, they have not been this high in four years, since June 2002. Although the causes for increased interest rates are usually multiple, the association believes that the rise is mostly due to inflation and interest rate expectations. However, do not let high interest rates defer your dream of owning a home in San Francisco. We urge you to continue reading to find out more about your buying power in San Francisco.
Quick San Francisco Housing Facts
Percent of Homeowners in San Francisco: 56.9%
Percent of Renters in San Francisco: 43.1%
Median San Francisco Household Income: $47,493
Average San Francisco Credit Score: 674
Best Cities to Live in near San Francisco: Mill Valley, Coronado, Saratoga, Santa Barbara, Benicia
Median San Francisco Home Value: $211,500
How Much Real Estate Can I Afford in San Francisco?
Since we aren’t looking at your checkbook or bank statements, we can’t necessarily tell you exactly what kind of house you can afford in San Francisco. But don’t worry, we can still offer you a few guidelines that will help you figure out where you stand in the San Francisco housing market. First get out a pen and paper, and answer the following questions:
- What kind of mortgage payments am I willing to make each month? Be sure to be realistic when budgeting your mortgage payments. It is better to be honest now than to find yourself in an undesirable situation later.
- What kind of payment plan will work for me? Read up on the different types of payment plans. Check out Fixed Rate Mortgages and Adjustable Rate Mortgages first, they are very popular, but also be sure to check out other plans.
- What are the current mortgage interest rates in San Francisco?
- What are property taxes like in San Francisco?
- Use our online mortgage clacluators.
Request a free San Francisco Mortgage Quote>>
Refinancing in San Francisco
Refinancing is an excellent tool. In fact, it may even be able to allow you to buy a home in San Francisco while rates are high, but lower your rates in a few years. When you refinance, you begin paying on a new mortgage that has lower rates, and possibly a different payment plan. So if you buy a home in San Francisco now, you always have the option of refinancing for a lower interest rate when the market drops again.
This site is not a broker and does not collect or solicit mortgage applications. Content is for informational or comparison purposes only. Services are not available in New York. Products and services may not be available in all other states.