Interest rates have been on everyone’s mind lately, and it’s no secret that they’ve impacted housing affordability over the past couple of years. But there’s good news on the horizon—mortgage rates are coming down! According to Freddie Mac, we’ve recently seen them hit the lowest point of 2024.
If you’re considering buying a home, you might wonder how much lower rates will go. Here’s what you need to know:
Expert Projections for Mortgage Rates
Experts suggest that if inflation and the economy continue to cool, the overall downward trend in mortgage rates should persist. However, keep in mind that there will be some ups and downs as new economic reports are released.
Despite these fluctuations, rates are still down roughly a full percentage point from their recent peak in May. Many experts are revising their 2024 mortgage rate forecasts to be more optimistic. For instance, Realtor.com recently adjusted its year-end forecast to 6.3% from 6.5%.
Know Your Number for Mortgage Rates
So, what does this mean for your home-buying plans? If you’ve been waiting for rates to drop, now might be the time to start thinking about your ideal mortgage rate. Whether it’s 6.25%, 6.0%, or even 5.99%, having a target rate in mind will help you know when to re-enter the market.
As Sam Khater, Chief Economist at Freddie Mac, says, “The decline in mortgage rates does increase prospective homebuyers’ purchasing power and should begin to pique their interest in making a move.”
Don’t try to track rates on your own—let’s connect to inform you when your target rate is within reach.
Bottom Line
If higher mortgage rates have paused your moving plans, now is the time to consider the rate that would make you comfortable enough to jump back in.
Once you have that number in mind, connect with me. Together, we’ll ensure you’re the first to know when to make your move.
Comments