As you’ve likely seen on all the major news websites, mortgage rates are now at the highest level since the spring of 2002. Here’s a brief overview of what’s happening.
Mortgage News Daily estimated the 30-year fixed rate was 7.37% as of Thursday morning.
Mortgage loan applications dropped another 0.8% this week, according tothe Mortgage Bankers Association.
Purchase applications are at the lowest level since 1995, according to Odeta Kushi, chief economist at First American.
Our Take –
Welcome to the new normal. These rates aren’t coming down anytime soon, so we’ve got to get our clients adjusted to this reality. But it’s always good to remember that we’re still nowhere near the rates of the 1980s, when buyers were paying a whopping 19%. The rates we’re seeing now are similar to those in the mid-90s & early 2000s. We know a lot of buyers would love to see a return to those incredibly-low rates we saw during the pandemic, but those were the exception and definitely not the norm.
If you have any questions about the market, or your property, give us a call!
