Interest rates for a 30-year mortgage can be as high as 5 percent by the third quarter of 2016, a chart fromFreddie Mac predicts.
Data is based on Freddie Mac’s July 2015 U.S. Economic & Housing Marketing Outlook report. It shows that starting the fourth quarter of this year, interest rates are expected to continue to increase steadily over the next 12 months.
According to SVP & Chief Economist for CoreLogic Dr. Frank Nothaft, right now is a good time for homebuyers to “take a look at the neighborhoods [they] are interested in. We expect home prices in our national index to be up about 4.3% in the next 12 months, and mortgage rates are also likely to increase over the next year.”
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