One of the most common questions we hear from clients is “where do you think interest rates are going?”
Virtually all of the experts we follow put rates above 5% going into next year and some see rates approaching 5.5% by the middle of 2019. What’s certain is that there are economic forces at work that are pushing rates higher.
So, how about a little history lesson? How do today’s 30-year mortgage rates compare to this same date in history going all the way back to 1990?
Today = 4.85%
2017 = 3.94%
2015 = 3.82%
2010 = 4.27%
2005 = 5.98%
2000 = 7.84%
1995 = 7.75%
1990 = 10.22%
While today’s rates feel high only because they are higher than 2017, they are quite a bit lower than at many times in history.