Mortgage rateshave had a bad month.
Actually, a bad three years.
Prospective homebuyers areeager for a silver liningin the housing market.
But experts don’t anticipate dramatically lower rates before the end of the year.
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Extreme rate volatility due to election uncertainty made things worse.
The 10-year Treasury bond and mortgage rates have a strong correlation and tend to move in tandem.
That outlook by investors helped propel mortgage rates higher in the short term.
In the long term, however, multiple future cuts and weaker economic data shouldhelp mortgage rates fall.
Mortgage rates can take two to five years to reflect the full effects of Fed cuts.
Regardless, a return to thepandemic-era 2-3% ratesis unlikely.
Anything could shake up the economy, from another major crisis to a surprise uptick in inflation.
Without a crystal ball, your best recourse is to keep an eye on daily mortgage rate movement.
Waiting too long could also be risky.
Last month, mortgage rates appeared to be inching toward 6% but quickly reversed course.
Now, they’re close to 7% again.
“It’s impossible to guarantee what mortgage rates will do.
