Rates - Have We Hit The Sweet Spot?

Rate Outlook:

In 2023 mortgage rates peaked at 8.03%, but one year later rates have settled into the high 5% range often referred to as the Goldilocks zone. This range is expected to encourage homebuyers waiting on the sidelines to reenter the market. Additionally, it offers homeowners the long-awaited opportunity to refinance either for cash-out purposes or to secure a lower rate and term. A refinance is worth considering if you can lower your current rate by 0.75% to 1.0%. It's highly unlikely we'll see rates return to the historically low 2% or 3% range, which was a rare once-in-a-lifetime outcome of the pandemic and other factors. Explore our current rates below and call, text, or email us for a no-obligation rate quote!

Fed Rate Cuts:

Federal Reserve rate cuts don’t directly impact mortgage rates since mortgage rates are tied to bond/treasury yields and the bond market, specifically the 10-year bond which peaked at 5% last year and has since dropped to 3.65% today. When the Federal Reserve cuts the Fed Funds Rate, it’s less expensive to finance auto purchases, HEOCS, personal loans, credit cards etc.