South Tampa Real Estate Report

South Tampa Real Estate Market Report | 1/30/22 - 2/5/22

For those of you looking to purchase second homes or vacation homes, you may want to read this. Historically, interest rates on second homes have been very similar to interest rates on primary residences. That is changing.  On second home loans delivered to Fannie or Freddie on or after April 1, 2022 there will be substantial Loan Level Price Adjustments resulting in higher rates (or a higher cost to keep the same rate)...think 1.125% to 6.875% higher depending on various factors.  After the changes go into effect, rates on second homes may be more similar to rates on investment properties, depending on the down payment. The larger the down payment, the less the rate is affected. This is an industry wide change mandated by Fannie and Freddie. If you have questions, we have lending partners that can answer them for you. Have a great week!

Michael Palermo

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