Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Mortgage Rates and other Mortgages topics.
As mortgage rates have begun to come back up over the past year or so, many people are asking, have we already seen the lowest mortgage rate we will see for some time? The answer is a simple one. Yes, mortgage rates were at their lowest point in over 40 years recently. Yes, they have risen slightly since then. This does not mean that they will continue to rise. We may still have even lower mortgage rates coming in the future.
There are many factors that influence mortgage rates and nobody can predict how each will change in the future. They main key to maintaining the lowest mortgage rates in maintaining home values. Mortgage lending is investment by the lenders. If their investments keep paying off for them, they will do what they can to maintain the lowest mortgage rate they can offer. However, if home values begin to fall, their investments wont be panning out quite as much.
Therefore, they will need to raise rates to make up for the slower market. We very well may have seen the lowest mortgage rate we will see for some time, but rates are still very low. If you are interested in getting a new mortgage or refinancing your current loan, you should still take advantage of current mortgage rates to save on your home expense.