Mortgage Interest Rates: Are They Rising or Falling?

The Expert Podcast

Introduction

• Dave Pel Granelli, licensed Commercial Insurance Producer and retired Mortgage Broker, discusses the current outlook on interest rates and its impact on mortgages and the real estate market.

Interest Rate Predictions

• A year ago, expectations were for multiple rate cuts, but now it seems unlikely.
• The Federal Reserve is cautious about cutting rates due to inflation concerns.

Components of Mortgage Rates

• Mortgage rates are influenced by the Federal Reserve rate, markup from mortgage companies, and market conditions.
• Even if Federal Reserve rates remain stable, mortgage rates could adjust due to market dynamics.

Future Mortgage Rate Trends

• Anticipation of rate cuts may lead to slight decreases in retail mortgage rates.
• Mortgage companies plan for long-term rates, potentially baking in future cuts into current rates.

Impact on Real Estate Market

• Buyers are adapting to current rate ranges (6% to 7.5%), stabilizing home-buying budgets.
• Increased confidence in rate stability may boost home sales and listings.

Market Outlook

• More inventory and home purchases are expected, leading to a normalized market by year-end.
• The upcoming election is a variable, but its impact on the real estate market is projected to be minimal.

Conclusion

• Buyers with liquidity are driving the real estate market forward.
• Consultations available with experts in insurance, real estate, and more at ActualHuman.com for personalized advice.

Call to Action

• Viewers can schedule one-on-one consultations with licensed experts via ActualHuman.com for tailored advice.