Mortage Rates: Where’re You Going?

This week the average for the 30-year fixed rate mortgage was at 5.22%. According to Lawrence Yun, chief economist of the National Association of Realtors, rates may not go much higher. Why? The housing market is stabilizing as it transitions from the surge of activity during the pandemic to a more balanced market. Decline in demand together with a tight supply of homes for sale has housing prices continuing to rise but at a slower pace at least for the summer. What can we deduce from that? With less competition to purchase (a more balanced market) and sellers, especially the ones that need to sell, for example to trade up or down with another property, concessions can be made with not just a lower acceptance price but seller contributions to closing costs. There are other concessions that can be negotiated, for those give me a call!