by Erin LaBuda

In case you haven't heard --- interest rates may be on the rise.  Who am I kidding?  Of course you've heard all the rumors!  The media is having a field day with the housing slump and mortgage "crisis" and the hike in interest rates only gives it something else to hype.

As a 30-year-old "Gen X-er", the recent very slight upswing in interest rates and scary talk about investing in real estate seem a bit excessive.  But, then again, I am in the real estate business, so naturally I would be resistant to the media fueling a downturn in a market that was going to have to turn down or stall (in some markets) at some point.

However, I do see that my generation and those ahead of me have been spoiled by the robust housing market of the early 2000's and the unbelievably low interest rates we have enjoyed in recent years.  It's hard to imagine people griping at the prospect of 6.75% rates!  I'm sure everyone has heard stories about people who had to purchase houses in the early 1980's when the interest rates were 18% -- with good credit.  Now THAT's a rise in interest rates!

Historically speaking, we are still experiencing extremely low rates.  The rates may not be the 4-1/2% we heard about in 2003, but to be asked to pay only $.065 or even $.07 on the dollar is still extraordinary when you think of the risk the lending institution is taking by loaning you tens of hundreds of thousands of dollars.

Yes, interest rates may rise a bit.  but it's important for us "Gen X-ers" to remember the past when our parents had to shell out 13%, 15% or even 18% interest to purchase a home for themselves and their families.  It is still a great time to buy.  Inventory is plentiful, Columbus has not experienced major depreciation, opportunities are endless and interest rates remain historically low!