VABS - Mortgage Rates Are Likely To Decline In The Near Future
2024-07-12 10:35:00 ET
Summary
- In June 2024, the 30-year fixed rate mortgage rate was around 6.9 percent vs around 3.6 percent in January 2019.
- Given recent monetary policy, it is reasonable to think that inflation will eventually return to 2 percent per year, or at least to the neighborhood of 2 percent.
- Lower long-term Treasury rates and lower spreads in the near future will translate into lower mortgage rates.
By Gerald P. Dwyer
Anyone shopping for a house can attest that mortgage rates remain high in the U.S. In June 2024, the 30-year fixed rate mortgage rate was around 6.9 percent. For comparison, it was around 3.6 percent in January 2019, just prior to the pandemic. Will mortgage rates come down from their current high levels? While no forecast of the future can be certain, lower mortgage rates are in fact quite likely....
Mortgage Rates Are Likely To Decline In The Near Future