Mortgage rates have been rising lately. Rates are toward the highest they have been for all of 2013.
Most believe the cause of the rising interest rates is the Federal Reserve withdrawing their purchasing from the Mortgage Back Securities market. In fact, a few Fed Reserve bank presidents have mentioned their should be a total stopage of MBS purchase by the Fed. This lack of purchasing by the Fed has led to investors selling fixed income investments and thus a rise in yields to entice others to buy such fixed income investments. However, the current thought on the market is that rising rates will cause the Fed to intervene to moderate rates. That being said higher rates are expected in the future, just not immediately. This thought is justified by evidence that Fed may not of been tapering but in fact that less Mortgage Backed Securities were available for the FED to buy in order to effect the market. However, only time will tell who is right in this market.
No matter what happens. The prices of home has been going up. So it still make sense to buy a Ponte Vedra Beach home now then wait to buy a more expensive home in the future in this current market.