Well, the mortgage interest news is the same as it’s been every week for the last few months. Interest rates are down, again. According to the latest Primary Mortgage Market Survey the averaged 30 year fixed mortgage rate dropped .06% to just 4.34%. The 15 year fixed mortgage hit a new low with an average of 3.86%, down .04% from last week.
The downward mortgage rates won’t last forever, but the question is when will they start going up? For people like me who are unable to refinance right now, but who will be able to next year, will interest rates still be this low in 2011? No one knows for sure, but here is what the experts are predicting. Take it with a grain of salt, because we all know their past predictions haven’t exactly been accurate.
In March, the Mortgage Bankers Association projected that rates on 30-year fixed-rate mortgages would rise to 5.8 percent during the final quarter of 2010, and average 6.2 percent in 2011 and 6.4 percent in 2012.
The MBA’s most recent mortgage finance forecast, issued on Aug. 17, projects that 30-year fixed-rate loans will rise to an average of 4.8 percent during the fourth quarter of this year, and stay around 5 percent most of next year.
MBA economists don’t foresee mortgage rates ticking up at a more rapid pace until 2012, when they expect 30-year fixed-rate mortgages to climb to an average of 5.8 percent during the final three months of the year.
So in short, now is probably the best time EVER to refinance, but it looks like Utah Real Estate interest rates will still be incredibly low for the next few years.