What could be better for homebuyers and sellers than low mortgage rates in a strengthening housing market? That’s the scenario we could experience over the next several months.
Low Mortgage Rates
Not only are mortgage rates low by historic measures, they have declined to 2014 lows over the last few days.
Freddie Mac reported earlier this month that rates for the 30-year fixed-rate mortgage are at 2014 lows, averaging 4.12 percent for the week of August 14.
It’s possible for low mortgage rates to spur home sales, resulting in a strengthening housing market. But could that happen during upcoming months?
Longer Term Home Sales Outlook at 1-Year Highs
Experts are divided over predictions for the housing market, but analysis by Jann Swanson is encouraging.
In an article appearing in Mortgage News Daily, Jann Swanson reports:
Measures of builder confidence in the new home market rose again this month. The third consecutive monthly increase in the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI) brought that metric back to its highest level since January.
Read the Mortgage News Daily article: Longer Term Home Sales Outlook at 1-Year Highs.
No one knows for certain what will happen in the future, but low mortgage rates along with signs of a strengthening housing market is good news for homebuyers and sellers.