The Federal Reserve hiked interest rates again today. As of today, the prime is now at 8.00%! Unfortunately, "I want to wait to pull equity out of my home" isn't working in your favor.
WHAT IS THE PRIME RATE TIED TO YOU MAY ASK? The prime rate sets the baseline for a variety of loans. When prime goes up, so does the cost to take auto loans, small business loans, lines of credit (HELOC), certain mortgages & equity loans, personal loans, variable student loans, credit card rates & more. The inflation #"s are still pretty high and the Fed will continue hiking until they can slow down spending and lower the inflation #'s as a result.
Interesting Fact: The last time that the prime rate was at 8.00% or more was right around the end of 2007.