What do lower interest rates mean for the BCS real estate market?

BRYAN, Tex. (KBTX) - The Federal Reserve has lowered the national interest rate for home loans, and the market is following.

National numbers suggest that this has led to more people applying for mortgages, at a surge of 26.8 percent this week, according to the Mortgage Bankers Association's seasonally adjusted index. Volume was 41% higher than a year ago.

Cherry Ruffino, longtime Brazos Valley realtor with Coldwell Banker AG-TOWN Realtors, says these national numbers come mostly from refinancing, and for most of the mortgages in the Brazos Valley, refinancing isn't a financially valuable option.

Higher mortgage applications numbers locally are because of another reason.

"It's that time of year," said Ruffino. "Our market really is busy from March until the end of July."

But for home-buyers, whether first-time or otherwise, Ruffino says soon, the BCS area will be a buyer's market, and the interest rates are great, too.

"It's great for the real estate market, and it's great for the whole economy," said Ruffino.

For the full conversation with Ruffino, see the video player above.