Biden sucks, it’s all his fault. Trump sucks, it’s all his fault. Now, discuss.
In the process of relocating and buying a house in Minneapolis. Just curious what everyone’s thoughts are on future interest rates.
Mortgage guy is of course offering 30 year fixed (6.875%, can buy down to 6.75% for about $1200). But they also offer a 7 (5.25%) & 10 (5.5%) year ARM option.
Historically, I have been dead set against ARMs, but these will save $600+ a month and really have me thinking, especially the 10yr. We’ve never been in a house 10 years. If we do happen to still be there, by the time that term is up, my oldest will be in college and the youngest will be 14. So, would likely be looking to downsize fairly quickly.
I just don’t see a whole lot of risk that rates won’t either decrease or at least remain about level with current rates over the course of 10 years to allow for a refi. But, like I said, I’ve always been against them and old habits die hard. My mortgage guy believes that they’ll raise throughout the rest of 2023 and then level off and begin dropping over the next several years, probably settling around the 4% range.
What say you about the medium to long term outlook for mortgage rates?
In the process of relocating and buying a house in Minneapolis. Just curious what everyone’s thoughts are on future interest rates.
Mortgage guy is of course offering 30 year fixed (6.875%, can buy down to 6.75% for about $1200). But they also offer a 7 (5.25%) & 10 (5.5%) year ARM option.
Historically, I have been dead set against ARMs, but these will save $600+ a month and really have me thinking, especially the 10yr. We’ve never been in a house 10 years. If we do happen to still be there, by the time that term is up, my oldest will be in college and the youngest will be 14. So, would likely be looking to downsize fairly quickly.
I just don’t see a whole lot of risk that rates won’t either decrease or at least remain about level with current rates over the course of 10 years to allow for a refi. But, like I said, I’ve always been against them and old habits die hard. My mortgage guy believes that they’ll raise throughout the rest of 2023 and then level off and begin dropping over the next several years, probably settling around the 4% range.
What say you about the medium to long term outlook for mortgage rates?
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