Pee Dee News

Some real estate people in Florence are optimistic about the market despite rising interest rates.
According to an article by the Associated Press, the average long-term U.S. mortgage rate has climbed over 6%, which is the highest in 14 years since the housing crash of 2008.

In South Carolina, the average mortgage rate for a 30-year fixed loan is 6.36%. The highest mortgage rate in history was in October 1981 with an interest rate of 18.45% and the lowest mortgage rate was in 2020 at 2.68%, according to Mortgage Buyer Freddie Mac.

Real estate broker Joey McMillan, who has 20 years of experience, said not to panic over the rise in interest rates. The rates are not usually high but are higher than what most are used to with the housing market.

When he first started in the business, McMillan said, interest rates were slightly higher than the current rate at 7½ percent. He said several people working in his office could attest to their interest rate being as high as 18% on their first home.

“Today the interest rates are at 6½ percent,” he said. “That is definitely up from six months ago, but in the early ‘80s, interest rates were as high as 18 percent. Historically, rates are pretty good. We are just used to extremely low rates.”

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