Not quite ready to buy a home and worried you’re missing out on historically low rates? If your not-so-distant future plans involve buying a home, fear not. Rates should stay favorable for a while.
Both Fannie Mae and the Mortgage Bankers Association (MBA) forecast that rates should remain near historic lows through 2021. In fact, the average prediction is that rates will stay close to 3.0% through next year. Total mortgage origination is forecasted to decrease through 2022, but purchase loan origination is actually expected to climb. That’s because most homeowners that hold a mortgage, have already taken advantage of today’s low rates through refinancing.