Mortgage rates for investment properties are generally 0.25% - 0.5% higher than those for conventional
home financing. Given the current mortgage rates posted today (March 14th, 2011) we can assume that investment property loan rates are somewhere in the high 4% - low 5% range for a thirty year fixed rate loan. Investors can likely find an even lower rate by going with a loan program that typically offers pricing below 30 year fixed rates such as a
7 year ARM.
15 yr interest rates are also almost often lower than those of a loan with a 30 year term.
However you look at it investment property financing is available at extremely low rates right now. This is great news for real estate investors, and is causing many to think about purchasing an investment property for the first time. If you're among this second group take a look though this site - you'll find lots of information to help you decide whether investing in real estate is right for you. If you have any questions please post them in the comments - we'd be happy to answer them in a future post!
