Despite initial indications after the election of Donald Trump that showed 30-year fixed rates rising, experts suggest mortgage rates will not continue to rise. The Fed policy of buying up mortgage securities, which continues today, will keep rates for new buyers low from a historical perspective. The current rate of 4.09% is lower than rates from 20 or 30 years ago of 7.87% or 9.21% respectively.

Key Takeaways:

• Mortgage rates have jumped since Donald Trump elected as president and pledges made by his administration.
• People predicted rates would rise however they have dipped, and are forecast not to raise significantly in 2017.
• Rates may potentially raise if the economy performs strongly, however any rates would seem reasonable when compared to historical rates.

“As long as there is a government agency scooping up these securities, rates for new buyers will be low compared to what they were 20 years ago.”

https://www.businessinsider.com/mortgage-rates-are-back-down-why-theyll-stay-low-2017-1?r=UK&IR=T