How low can they go?
According to a forecast by Fannie Mae, mortgage rates are already at historic lows and are poised to come down even more.
Even the average rate for the rest of the year is expected to hover nearly a half a percentage point below 2019 levels, beating the record set in 2016.
By 2021, the average rate will tick down even further, possibly below 3 percent.
This type of decrease in interest rates bodes well for housing demand and individuals thinking about refinancing their home.
Refinancing is also expected to aid the economy as a whole. As homeowners pay less on their monthly mortgage payments, they will have more discretionary funds to spend elsewhere.
Further reduction in rates and strong buyer confidence will continue to support attractive home prices and boost new construction, which is welcome news for families eyeing homeownership.
Team Mandi is a group of experienced home loan professionals who work hard to exceed customer expectations.
Our FHA loans, backed by the Federal Housing Administration, allow applicants to move forward with the buying process through lenient borrowing terms. These include reasonable credit expectations and a low minimum for a down payment.
Our offices also provide powerful tools and loan programs, such as fixed-rate mortgages, to assist soon-to-be homeowners with products and services that will get them over the finish line.
Please contact us today to learn more about today’s changing market and the mortgage plans that are best suited to navigate today’s realities and opportunities.