Mortgage Rates in 2015: What Can We Expect?

Ever since the recession we’ve seen mortgage rates drop to historically low rates – as low as 3.9% in 2014. Now that the housing market is making a recovery, what can we expect to see happen with mortgage rates in 2015?

Can we expect interest rates to go up?

Industry experts across the board agree that mortgage rates will rise in 2015 as the United States economy continues to recover. Projections reflect an estimated rise to a 4.28% average in the first quarter of this year, and a final hike to an average of 4.98% by the end of 2015. These are the averages across the four major lending institutions; Fannie Mae, Freddie Mac, MBA and NAR.

Are higher rates good for home values?

Historically, higher interest rates have gone hand in hand with a healthy economy including increased property values. While homebuyers are going to face increased mortgage rates, both existing and new homeowners will benefit from the continued rise in property values.

What does this mean for buyers?

While rates are expected to rise, there are recent new loan programs available that make it easier for buyers to qualify than it has been in recent years. Such programs include options for just a 3% down payment with good credit and employment history.

For the most up to date information on mortgage rates and current real estate market conditions, contact Elite Realty. Our professional Las Vegas real estate agents have the resources and expertise needed to educate both buyers and sellers in our valley. Whether you’re a buyer looking to stay informed of the newest listings to hit our market, or are a homeowner curious about the current market value of your home, we can help! Call our office at 702-835-5255 to speak with a seasoned and qualified agent now.