Mortgage Interest Rates to Increase in 2019

It is the ultimate dream for most people to own a home. Many times, they opt for mortgages to help them achieve this fete. But mortgages are influenced a lot by market trends and the economy at large. One prominent thing that experts warn is that the mortgage rate will increase in 2019. Here is why.

Mortgage Interest Rates to Increase in 2019

Flashback to 2018

2018 saw an increase in interest for mortgage plans. Though many experts such as Sun West Mortgage had forecasted this earlier, not so many people paid attention. Rising unemployment and the general decline of the economy were major factors that led to this being witnessed in 2018. At the close of the year, the situation had not changed.

Increase in Interest Rates

Already, the Federal Reserve has announced plans to raise interest rates again in 2019. Sun West Mortgage still predicts that this will have some effect on the interest rates on mortgages. People can expect an increase in mortgage rates. The effect of this will be reduced purchasing power by potential home buyers. Effectively that is also going to affect the prices of homes in the market.

For a savvy real estate investor, it is advisable to be a step ahead of all these. This is the time to seek advice from the leading realtors in the industry. All investments at this point need to be backed up with research on market sentiments.

Share this post:

Recent Posts