What are the predictions for the mortgage market?

Others have lower predictions: Fannie Mae recently noted that the 30-year fixed mortgage rate is “now projected to close the year at 3.7%.” Lawrence Yun, chief economist at the National Association of Realtors, tells MarketWatch Picks that higher mortgage rates are expected, and in January NAR also forecast rates hitting 3.7%.

What is a mortgage rate?

A mortgage rate is the interest that a home buyer will pay to finance the purchase. You'll get the best rate available if you have a very good credit rating and a financial history that proves you can afford to repay the loan. However, the range of mortgage rates that are available at any given time are well outside your control.

What will mortgage rates be in 2022?

We interviewed eight mortgage, housing, and finance professionals to get their mortgage rate forecasts for 2022. By the end of next year, these industry experts predict 30-year fixed mortgage rates could rise to between 3.4% and 4.1%. When it comes to 15-year mortgage rates, they predict an average between 3.0% and 3.5%.

Will mortgage rates come down next year?

But the upshot for homebuyers is that mortgage rates are expected to come down next year, Fratantoni said. MBA is forecasting mortgage rates to end 2023 at around 5.4%. The average rate for a 30-year fixed rate mortgage is currently 6.94%, according to Freddie Mac. What will my monthly mortgage payment be?