Mortgage rates remain near all-time lows, and many economists believe they will stay for the remainder of this year and well into next year.
“This year has been anything but normal and as the uncertainty lingers, mortgage rates remain” low, says Sam Khater, Freddie Mac’s chief economist. “These rates continue to incentivize potential buyers and the home buying season, which shifted from spring to summer, will likely continue into the fall.”
The Federal Reserve this week announced the adoption of a more flexible policy to achieve inflation that averages 2% over time. “This significant change can keep interest rates low for longer periods, which could translate into both long periods of cheap mortgages and a strong job market,” the National Association of Realtors® said in a statement. “More and more home buyers and homeowners are expected to take advantage of these ultra-low rates.”
Freddie Mac reports the following national averages with mortgage rates for the week ending Aug. 27:
Source: National Association of Realtors, Realtor Magazine.