Low mortgage rates for those investing in property in US

Individuals considering making an investment in property may want to take into account the US, where low mortgage rates could prove a viable incentive to buy.

Freddie Mac recently announced that the average rate for 30-year fixed loans dropped from 4.75 per cent to 4.69 per cent, which is the lowest rate since the mortgage lender began tracking rates in 1971.

Furthermore, rates for five-year and 15-year mortgages also fell to new lows, meaning that those looking to buy a property for sale can expect a reduced monthly outlay for a locked-in period of time.

Tightened lending rules have meant that many prospective buyers have failed to create a surge in property buying, but those thinking of purchasing a home overseas will not be under pressure from situations including high unemployment in the country.

Greg McBride, senior financial analyst with Bankrate.com, said: "As long as prospective homebuyers are still concerned about their jobs and financial well-being, many will be reluctant to take the plunge, even though affordability has never been better."

The latest statistics to be released by the Worldwide Property Group showed that the US and the Caribbean topped a list of the favoured destinations of those considering purchasing a property overseas.

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