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American home buyers have enjoyed 32 years of declining mortgage rates falling from an early 1980s, high exceeding 18% to a low of nearly 3 percent in 2013. lower interest rates helped homebuyers by reducing mortgage payments or allowing them to afford a more expensive home for the same payment, but what happens when interest rates eventually start to move higher as we've already started to witness recently. does mean home affordability will decline? yes. homes are already becoming less affordable for example, at 3%, $1000 a month could have supported a mortgage of $237,000, at 5%, it would support the $186,000 mortgage, and at 7%, a buyer will only be able to afford a $150,000 mortgage. fortunately, there is still a way to take advantage of the historically low interest rates of the past several years assumable mortgages, and a simple mortgages allows for the seller of a home to transfer an existing low interest rate mortgage to a qualified buyer. the buyer simply pays the difference between the sellers outstanding mortgage amount and the agreed purchase price. if that difference is more than the buyer has available for a down payment, additional financing may be available and the best part is the buyer and the seller can both share in the benefit. the buyer benefits because his monthly payments are lower, and because his payments are lower he might be willing to pay a somewhat higher sales price, perhaps the full asking price providing the seller with the benefit - in addition to lower monthly payments, buyers can also save on closing costs since there is no mortgage broker or loan officer in the transaction. there are no mortgage commitment fees, similarly appraisals and their associated fees are not usually required so what types of mortgages are readily assumable in the u.s. loans that are backed by the US Government including loans insured by the Federal Housing Administration, loans guaranteed by the veterans Administration, loans guaranteed by the U.S. Department of Agriculture. the amount of these outstanding assumable has grown dramatically since the financially crisis began in 2007 as bank lending dried up the federal reserve Congress, and other governmental agencies work to keep interest rates low and home financing available this timely action resulted in the creation of large amounts of government backed assumable mortgages that offer value and opportunity to home buyers and sellers. the increase in government backed funding has been so significant that assumable loans now make up more than one out of every six mortgages across America. now that so many American homes have assumable mortgages with low interest rates, this is a great opportunity for today's buyers and sellers with rates approaching 7%, there are already homes for sale that offer buyers lifetime savings, $30,000, $50,000 or even $100,000. these opportunities will only grow as rates rise. in fact if interest rates return to their historical levels. $9 Million homes across America will offer American homebuyer savings totaling more than one trillion dollars. To learn more about assumable mortgages or to search for a home with with an assumable mortgage. visit The Worth-While Realty Team's website. The Worth-While Realty Team's website assume the best!