This year, mortgage rates have begun to slowly climb above recent record lows. Many homeowners are planning move may feel that they missed the opportunity to earn an excellent tax on their next mortgage. In fact there is still time to secure a tax well below the historical standard. Here’s why.
After crawling for seven consecutive weeks, average mortgage rates have fallen further lately (See graph below). With rates slightly soaked over the past two weeks at a time the inventory of homes for sale is so low, today homeowners are sitting in the optimum seat to sell. What is the advantage of selling your house now? Securing a low mortgage rate on your next home.To take advantage of today’s real estate market, experts encourage homeowners to act now before interest rates climb. Danielle Hale, Chief Economist at realtor.com, explains:
“… mortgage rates slipped for a second week … but we don’t expect rates to stay at this level for too long. ”
Hale goes on to say:
“For salespeopleEntering early optimizes odds of a quick sale at a good price before there is too much competition, but that means acting now … In this environment, sellers probably really can’t go wrong, and that’s especially true in the nation’s hottest housing markets, where homes sell fast and the internet gets the largest number of viewers.. “
Most experts agree that rates will continue to trend upward. Sam Khater, Chief Economist at Freddie Mac, states:
“Despite the break in mortgage rates recently, we expect them to rise modestly for the rest of this year. “
In addition, Freddie Mac recently released theirs Quarterly forecast, which notes:
“We anticipate that mortgage rates will continue to rise until the end of next year. We estimate that the fixed 30-year mortgage rate will average 3.4% in the fourth quarter of 2021, rising to 3.8% in the fourth quarter of 2022. ” (See graph below):
While buyers everywhere want to ensure the lowest possible rate, it is important to remember that today’s rates are still much lower than the historical standard. Odeta Kushi, Deputy Chief Economist at First American, emphasizes:
“Although mortgage rates have risen in recent months, they are still historically low, so compared to a year ago, housing is actually even more affordable and that’s really thanks to this low mortgage rate that we’re in.”
If you are thinking of relocating, don’t miss the opportunity to earn a great rate on your next home mortgage. Let’s connect today so you can sell your house and find your dream home while mortgage rates are still low.
Content previously posted on Preserving Current Affairs