One of the most common questions right now is: when will mortgage rates finally come down? After years of rising rates and the unpredictability we saw throughout 2024, it’s no surprise that many of us are hoping for some relief.
While no one can predict rates with absolute certainty, experts have provided some insight into what we might expect in 2025. Here’s a summary of the latest forecasts and the factors influencing where rates may go from here:
Mortgage Rates Are Expected to Ease and Stabilize in 2025
It’s important to understand that predicting mortgage rates is one of the toughest tasks in real estate, as so much depends on multiple economic factors aligning just right. While rates are expected to dip slightly, we should still anticipate some fluctuation. Here are a few key drivers that will shape where things go:
- Inflation: If inflation starts to cool, rates could drop further. However, if inflation remains stubbornly high, we could see rates staying elevated for a while longer.
- Unemployment Rates: This is another critical factor the Federal Reserve considers when making decisions that impact the economy. While the Fed doesn’t directly set mortgage rates, their policies heavily influence them.
- Government Policies: A new administration and its fiscal policies, taking office in January, could play a significant role in financial markets and, by extension, mortgage rates.
If you’re planning to make a move, it’s wise to stay informed and work with someone who can guide you through the process—whether rates are rising or falling. Let’s make sure you’re prepared for whatever comes next. Head to our website SageAndGraceRE.com to get our free home buying guide and when you are ready, you can book a chat with us - a free consultation to create a clear path to success for you.
Sage and Grace Realty Group team agents specialize in providing top-notch real estate services as well as helpful local information in Brookhaven, Buckhead, Sandy Springs, Chamblee, Decatur, Dunwoody, Virginia Highland, all the surrounding areas and worldwide, ensuring our clients receive the best possible advice for investing, buying and selling in today’s market.
Sage and Grace Realty Group team agents specialize in providing top-notch real estate services as well as helpful local information in Brookhaven, Buckhead, Sandy Springs, Chamblee, Decatur, Dunwoody, Virginia Highland, all the surrounding areas and worldwide, ensuring our clients receive the best possible advice for investing, buying and selling in today’s market.
