If you’ve been keeping up with the real estate market trends from the beginning of the year, you’ll know that mortgage rates have been steadily rising throughout the year. Now, mortgage rates are higher than they were at the start of 2018. For much of 2017, the average rate for a 30-year fixed mortgage hovered just below 4%. Then, at the start of 2018, it began a steady upward climb and by June, it reached 4.57% (Freddie Mac).
Clearly, mortgage rates have been increasing. By the beginning of 2019, experts predict mortgage rates will climb even higher. The Mortgage Bankers Association (MBA) has recently updated its long-range forecast, predicting that the average 30-year mortgage rates would rise to 4.9% by the fourth quarter of this year and would reach 5% by the end of 2019! Economists from Freddie Mac predict similar trends as well.
What could these housing market predictions lead to in 2019? Assuming that this actually happens, property investors could see a decline in home sales in the coming months. This, nonetheless, won’t have a major impact on real estate sales. If you’re wondering when to buy a house, we say now is the best time!
For information about the Naples, Marco Island, Florida real estate market contact Nick Cornwell at Nova Homes of south Florida at 239.776.5076 or BuildNow@NovaHomesBuilder.com. Custom homes priced from the $200s.