For the past few years, we have been in a strong and thriving seller’s market. However, as noted in the past, the seller’s market is beginning to shift towards a buyer’s market. We have been seeing signs of the shift over the course of several months and experts predict that the buyer’s market will be in full swing by the time 2020 begins.
According to the National Association of Realtors, experts are looking closely at the state of mortgage rates. The fixed-rate was 4.2 percent and dropped to 4.14 percent. The cause of the drop is being speculated to have been caused by the rising inflation gauge, in conjunction with the Federal Reserve’s preferences. The gauge rose 1.5 percent, at least partially causing the lower mortgage rates.
At the end of each month, the Fed makes decisions about interest rates based on the economy. Their decisions at the end of April were to keep the rates the same, instead of increasing or decreasing the rates. The reason behind the decision to keep the current rates is due to the current economic growth and the unusual inflation levels being low.
If you would like to learn more about the status of the mortgage rates, please click here for more information.