Why are mortgage interest rates rising so fast? will they keep rising?

Why are mortgage interest rates rising so fast? will they keep rising?

Why are mortgage interest rates rising so quickly and will they continue to do so? In today’s real estate market, that is the question that a lot of people are asking. This year alone we have seen the federal reserve raise the 30 year fixed mortgage rate six times. 

According to Sam Khater, chief economist from Freddie Mac, “The uncertainty and volatility in financial markets, is heavily impacting mortgage rates. The 30 year fixed rate mortgage has more than doubled over the last year.” 

These are significant increases. And what is driving mortgage rates up so quickly? … is MAINLY inflation. The federal reserve is trying to bring soaring inflation down and slow the economy, and this is having an impact on mortgage rates and, of course the housing market as The housing market is the most interest-rate-sensitive sector of the economy. Until we see inflation come down, we may see mortgage rates continue to rise in the new year. 

So what does that mean for 2023? According to Mark Fleming, chief economist of First American, “While mortgage rates are expected to continue to drift higher over the coming months, much of the rapid increase in rates is likely behind us.” This means we may not necessarily see the rapid spikes we saw this year in rates and more of a stabilization. 

In times of uncertainty, it’s SUPER important to have a trusted expert on your side that can help educate you in this market and navigate you through it. I’m Tanja and I sell houses in Oakland, Berkeley, and the East Bay, please feel free to connect with me so I can update you on the latest developments with regard to the housing market and mortgage rates to help you make an informed decision whether buying or selling. 

And ask me about my tiered home selling plans where you get to pick which real estate services you want and the fee you pay. Most of them offering my super duper digital marketing that… no one else does in our area. I’m Tanja and I sell houses. I offer simplified and transparent choices!  

I’m a Top Producing Realtor® in the OAKLAND / BERKELEY / EAST BAY AREA. I’ve been in the San Francisco East Bay Area since I came up to do my undergrad at UC Berkeley (a long time ago!), with a short stint at UC Davis while getting my Master’s. I take my duties as a Realtor® and Fiduciary very seriously, I enjoy educating my sellers and buyers along the way. Putting People, Before Profit. 

Why not check out one of my no-obligation, online, On-Demand, virtual Real Estate Seminars?

Click here—> I WANT TO GAIN ACCESS TO THE *HOME BUYER* SEMINAR NOW

Click here—> I WANT TO GAIN ACCESS TO THE *HOME SELLER* SEMINAR NOW

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