Mortgage Rates Dropping
We are finally seeing mortgage rates dropping which is great news for buyers!
Although rates might begin to decrease in September, it's highly unlikely that they'll return to the record lows of 2020-2021, even over time. Those historically low rates were driven by the extraordinary economic conditions during the pandemic.
However, if inflation continues to cool, we could see rates gradually decline throughout the rest of 2024 and into 2025. This decline is expected to be slow and steady rather than sudden or dramatic.
A recent poll of economists revealed that half of the respondents anticipate the federal funds rate will decrease by 25 basis points at each of the three upcoming Fed meetings between September and December. If this prediction holds, the rate could fall to a range of 4.50% to 4.75% by the end of the year.
Want to know more? Here are some articles referenced above: