If we had a workable one, crystal ballsWouldn’t it be easier to predict trends and what the future will bring? However, since most of them have not found their personal version of their reliable form, it may make sense to better understand some of the signs and omens that may be useful to provide us with more information to make an informed – decision! One of these pressing issues relates to mortgage rates and determining whether those interest rates will stay as low (or close) as they are, and for how long. With this in mind, this article will attempt to briefly review, explore, analyze and discuss some of the important factors to focus on in these considerations and assessments.
one. The so-called experts: The funny thing about the experts is that they don’t all agree. As far as interest rates are concerned, it could be even higher! The overwhelming majority of today’s economists specializing in this area believe that we probably will not see significant changes in these indicators, at least until at least after the 2020 elections. Their reasoning appears to be based on several factors, including political considerations (the president is seeking re-election), fear of economic shocks, etc. However, they also warn us that this may not be the case if inflation rises suddenly, as it could be, and other, real and / or perceived risks, etc.
2. External influences: What are the implications of a potential escalation of trade wars due to tariffs and / or rhetoric from President Donald Trump? If the voluntary war with China continues for a significant period, it will increase the cost of everything, including building materials, electronics, equipment, etc. If Japan and the current administration cannot come to any mutually acceptable agreement, this will create an additional burden on the system. … How about the impact of our conflicts with our allies including NATO, the European Union (EU), the United Kingdom (due to BREXIT), etc.?
3. Economic considerations: If trade wars escalate, or even if many feel instability, etc., these economic considerations could affect the number of potential, qualified home buyers who are willing, willing and able to seriously consider buying a home. will transform the real estate market from a sellers ‘to a buyers’ market and possibly have an impact / impact on mortgage rates, in part due to supply and demand!
4. Supply and demand: Like almost every other aspect of the economy, supply and demand also has a big impact on real estate.
Act wisely and pay close attention to the influence of many factors on the future level of interest rates and, therefore, on the cost of the mortgage. A wise consumer who educates himself is the best prepared and ready for any unforeseen circumstances!#long #Mortgage #Rates #stay