As we approach 2024, the data indicates a slowdown in inflation and the economy in general. This leads us to believe that mortgage rates have peaked and will continue to decrease throughout 2024. However, don’t expect rates to drop below 6 percent by the end of the year. While this may not be the most exciting news, it’s still better than today’s rate of close to 7.5 percent. And let’s not forget that before the pandemic, when the market was healthy, rates were around 5.5 percent.
In 2024, we may see a slight increase in the number of sellers, but many may be reluctant to sell and lose their current mortgage rate, which is significantly lower than today’s rate. In fact, recent data shows that 80 percent of mortgaged homeowners have a rate at or below 5 percent.
Although they may not be inclined to sell right now, historically, when rates fall to within 1 to 1.5 percent of the rate they currently hold, sellers who had been holding off will seriously consider listing their homes for sale. This will increase inventory and help buyers.
We will closely monitor any statements made by Federal Reserve officials regarding their future monetary policy and interest rates. As we approach 2024, the data indicates a slowdown in inflation and the economy in general. This may indicate that mortgage rates have peaked and will continue to decrease throughout 2024. However, don’t expect rates to drop below 6 percent by the end of the year. While this may not be the most exciting news, it’s still better than today’s rate of close to 7.5 percent. And let’s not forget that before the pandemic, when the market was healthy, rates were around 5.5 percent.
In 2024, we may see a slight increase in the number of sellers, but many may be reluctant to sell and lose their current mortgage rate, which is significantly lower than today’s rate. In fact, recent data shows that 80 percent of mortgaged homeowners have a rate at or below 5 percent.
Although they may not be inclined to sell right now, historically, when rates fall to within 1 to 1.5 percent of the rate they currently hold, sellers who had been holding off will seriously consider listing their homes for sale. This will increase inventory and help buyers
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