Mortgage rates are expected to rise to 4% in 2022, according to CNBC.com. In an article posted on October 18, 2021, the news site says that "The average rate on the popular 30-year fixed loan will rise to 4%, a full percentage point higher than it is now, MBA economists say. That will result in a 62% drop in refinance originations to just $860 billion. It deepens the anticipated 14% decline in 2021 to $2.26 trillion." While that is not great news for lenders, the article continues by saying that "Originations for the purpose of buying a home, however, are forecast to rise 9% to a record of $1.73 trillion in 2022," meaning that the real estate market should stay strong. While increasing mortgage rates seem ominous in our industry, the one-point jump is still not enough to deter home buyers. Rates have been historically low so buyers have been spoiled, but 4% for a 30-year fixed mortgage is still a great interest rate.
We will see where 2022 takes the real estate market, but I have a feeling that it will continue to be very active even with a slight mortgage rate hike.
To read the full CNBC.com piece, click here.
If you are looking to buy or sell a home anywhere in Miami, please call me at 305-798-8685, or visit my website at: Luxury Miami Real Estate
My focused dedication as a realtor in my home town of Miami for over 25 years, consistently puts me at the top of my field. Whether you’re looking to buy or sell your home, let me help you from start to finish with my results-proven: professional marketing, excellent property exposure and comprehensive experience.
Consistently in the top 10 company-wide at BHHS EWM Realty for the past 15 years, my focus is on Coral Gables, Coconut Grove, Pinecrest and South Miami — specializing in luxury real estate and waterfront properties. Call me today and let’s get started!
Don't hesitate to reach out to me, Ashley Cusack at {305.798.8685, email and website}. Senior Vice President, Berkshire Hathaway HomeServices EWM Realty.
