Every buyer wants to purchase at a great price and a low mortgage rate as that determines the monthly cost. Here’s how today’s buyers are being impacted:
Price – Based on a home price expectation survey released by Pulsenomics on June 10, more than 100 forecasters predict an 8.7% annual gain in home values for 2021. This rate is expected to slow to approx. 5% in 2022 and about 2.5% for the following year. In other words, if you are waiting for prices to go down, it could be a while.
Mortgage Rates – The average fixed 30 yr. rate is near 3% right now. The Mortgage Bankers Assoc. expects the 30-year fixed rate to reach 3.6% by the end of 2021. Greg McBride, chief financial analyst at Bankrate states “the tug of war over whether mortgage rates will move higher or lower from here largely revolves around inflation.” The latest Quarterly Forecast from Freddie Mac predicts the average 30-year fixed-rate mortgage to be 3.1% in 2021 and 3.7% in 2022.
Increases in prices and rates impact you; your housing expense will be more a year from now if you need a mortgage to purchase your home. My advice is to buy now - it could lead to substantial savings as even a small change in interest rates can have a big impact. Contact me if you would like expert advice on buying in today’s challenging market.
Donna Forest ~ firstname.lastname@example.org ~ 613-731-5151
You’ll be moving in the right direction with Better Homes & Gardens Real Estate - The Milestone Team.
Better Homes & Gardens Real Estate - The Milestone Team