Impact Of Rising Rates On 2017 Housing Market

Dated: 03/04/2017

Views: 225

Over the last several years, low mortgage rates were a major stimulus to the housing recovery. However, many industry experts are starting to show concern about the possible effect that the rising rates will have as we move further into 2017.

The Mortgage Bankers Association, Fannie Mae, Freddie Mac and the National Association of Realtors are projecting that mortgage interest rates will continue to trend upward in 2017. Rising interest rates will definitely impact purchasers and may stifle demand.

In a recent study of industry experts, “rising mortgage interest rates, and their impact on mortgage affordability” was named by 56% as the force they think will have the most significant impact on U.S. housing in 2017. If rising rates slow demand for housing, home values will be impacted.

Pulsenomics, recently surveyed a panel of over 100 economists, investment strategists, and housing market analysts and asked the question “In your opinion, at what level will the 30-year fixed rate mortgage rate significantly slow home value appreciation?” The experts in this survey believe that if interest rates rise to 5% or above, it would definitely affect home prices.

several years, low mortgage rates were a major stimulus to the housing recovery. However, many industry experts are starting to show concern about the possible effect that the rising rates will have as we move further into 2017.

The Mortgage Bankers Association, Fannie Mae, Freddie Mac and the National Association of Realtors are projecting that mortgage interest rates will continue to trend upward in 2017. Rising interest rates will definitely impact purchasers and may stifle demand.

In a recent study of industry experts, “rising mortgage interest rates, and their impact on mortgage affordability” was named by 56% as the force they think will have the most significant impact on U.S. housing in 2017. If rising rates slow demand for housing, home values will be impacted.

Pulsenomics, recently surveyed a panel of over 100 economists, investment strategists, and housing market analysts and asked the question “In your opinion, at what level will the 30-year fixed rate mortgage rate significantly slow home value appreciation?” The experts in this survey believe that if interest rates rise to 5% or above, it would definitely affect home prices.

Marvette Cofield

You don’t choose a home because you love the paint color. No, an investment this big demands in-depth knowledge so that you can buy with confidence. That’s where I come in. As an agent with Berk....

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