What Are The Experts Saying About Mortgage Rates

Dated: 03/24/2017

Views: 74

What Are the Experts Saying about Mortgage Rates? | MyKCM

Mortgage interest rates have risen over the last few months and projections are that they will continue their upswing throughout 2017. What impact will this have on the housing market? Here is what the experts are saying:

Laurie Goodman, Co-director of the Urban Institute’s Housing Finance Policy Center:

“In 1984, 1994, 2000, and 2013, every time we have rate increases, we have increases in nominal home prices. We expect this to be more pronounced, as there is a big demand-and-supply gap at the present time.”

Scott Anderson, Chief Economist for Bank of the West:

“The tightening labor market, rising wage growth, high levels of consumer confidence and a millennial generation with a pent-up demand for housing should allow the housing market to weather the storm of gradually rising interest rates.”

Ivy Zelman in her latest “Z” Report:

“Although we strongly believe that the housing supply-demand imbalance for single-family homes will continue to drive above-average home price appreciation, just as falling mortgage rates aided pricing power on the margin in recent months, we expect the opposite effect to become evident in the coming months. As such, we project year-end home price inflation of 4.8% for 2017 and 4.1% for 2018.”

Bob Walters, President & COO of retail mortgage lender Quicken Loans:

“A modest increase in mortgage rates won’t have much of an effect on home purchases. A buyer may need to slightly re-evaluate which homes they can afford, but it’s not likely to make an impact on qualifying, in most cases.”

First American Chief Economist Mark Fleming:

"Our survey data shows that mortgage rates would have to be significantly higher to have any meaningful impact. The house buying power that borrowers have, even with rates below five percent, still remains historically strong."

Blog author image

Ernest Enriquez

Hi, my name is Ernest Enriquez owner/team lead of Elite Home Team. I am a dedicated agent who works hard for my clients whether your buying or selling. I'm here to make the process as stress free as p....

Latest Blog Posts


483SHARES437360100Saving for a down payment is often the biggest hurdle for a first-time homebuyer. Depending on where you live, median income, median rents, and home prices all vary. So, we set out

Read More

Latest NAR Data Shows Now Is A Great Time To Sell!

Let’s look at the data covered in the latest REALTORS® Confidence Index and Existing Home Sales Report.REALTORS® CONFIDENCE INDEXEvery month, NAR 

Read More

Whether You Rent Or Buy, Either Way You’re Paying A Mortgage!

There are some people who have not purchased homes because they are uncomfortable taking on the obligation of a mortgage. Everyone should realize, however, that unless you are living with your

Read More

Como El Aumento De Los Precios Lo Ayudar A Generar Riqueza Familiar En 2018

3.5KACCIONES 2.7K 117 0 24 578 En los próximos cinco años, se espera que los precios de las viviendas se aprecien en promedio un 3,35% porñ

Read More