The recent vote by the British to leave the EU is affecting even the local Twin Cities real estate market. The turmoil across the sea has sent investors fleeing for safe havens; including the U.S. government bonds. Yields on 10-year bonds have decreased more than 2% this year; which has the led to even more favorable interest rates for U.S. home buyers. Today’s buyers will experience some of the lowest rates in our lifetime and it is likely the Federal Reserve will not raise rates in the short-term due to the instability in the worldwide economy. Therefore, if you are a buyer or a homeowner looking to refinance – today interest rates will be extremely favorable in the short-term.
