Mortgage rates on the rise

The most recent national survey of mortgage rates show that 30 year fixed rates average is  5.00%+.    We are expecting mortgage rates to continue to rise as the economy improves, inflationary pressures and the ballooning of the our federal deficit.   See the most recent results here.

Rising rates will impact several areas:  reduced the number of refinances and lower the affordability of home purchases.   I expect home sales will be negatively impacted by marginal increases to interest rates but not as  much as some expect since the overall health of the economy, jobs and consumer confidence will have a greater impact.

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