Home Prices and Interest Rates on the Rise - NBC Right Now/KNDO/KNDU Tri-Cities, Yakima, WA |

Home Prices and Interest Rates on the Rise

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YAKIMA, Wash.-- If you're in the market to buy a home, you may want to act fast. Local real estate agents say interest rates and home prices are on the rise across the country and in our area.

The average rate for a 30 year fixed home loan is now 3.9%. And while that's still historically low, it's the highest it's been since last year.

Daniel McLaughlin, the managing broker at The Buyer's Agent in Yakima says he's had clients lose out on lower interest rates because they waited too long. In turn, their monthly mortgage payment went up by more than $60 on a $150,000 home.

"If you're thinking about buying a home, I would recommend the sooner the better because I don't have a crystal ball, but I can tell you that rates probably won't go much lower. They're only going to go up," said McLaughlin.

Agents in both Yakima and the Tri Cities say home prices have seen modest growth too, but what's really positive news is that more people are in the market to buy.

In fact, the president of the Tri Cities Association of Realtors says they've seen a 10% increase in the number of homes sold this year compared to last.