Current mortgage interest rates are still below 3% on average. Sam Khater, the chief economist at Freddie Mac, said mortgage rates this week have been stable except for slightly higher or lower than current levels next week (August 1-7).
No one expected mortgage rates to fall further in July. But this is their failure. According to Freddie Mac, the 30-year average stability as of July 21 was -78, the lowest since February of this year. These record rates are because of the pandemic.
As the delta variable becomes more important, so does uncertainty about the direction of the US and global economies. Keep in mind that mortgage rates can be lower if the economy is weak for fear of a recession. As the delta variable overheats, economists and investors are concerned about new financial challenges at home and abroad.
These concerns were enough to raise more funds for “safe” vehicles like the US Mortgage Background (MBS). This is one of the main reasons mortgage rates are low these days. Will Mortgage Rates will fall in August? Perhaps. But probably not in a substantial amount.
Mortgage Interest Rates forecast next 90 days
We expect mortgage interest rates to continue to hover near or slightly below 3% in the next few weeks. In the next 90 days, there may be a moderate increase overall. According to the forecasts of mortgage rate experts and the real estate authorities, in the next 90 days, the 30-year mortgage rate may reach 3.18%.
Mortgage interest rates trends
Mortgage rates rose this week and the 30-year average fixed rate fell to 2.8% from 2.78%, according to Mack Weekly. the lowest mortgage rate in 30 years was just 2.65. Freddie Mac pointed this out in January 2021. The chart below shows the trends in 30-year and 15-year fixed mortgage rates based on MAC’s weekly personal interest rate survey.
