There are many factors that affect the housing market. One of which is global economics. While there is no crystal ball that can predict the exact rates of homes in the future, watching current events closely is something that experts always recommend.
For instance, following the Brexit vote in 2016, the U.S. Treasury bond yield declined, which caused a corresponding decline in mortgage rates. Weeks ago, the 30-year fixed mortgage rate from Freddie Mac reached 4% for the first time since May 2019, however, that increase has dropped slightly, mainly due to the ongoing tensions between Russia and Ukraine.
While most people make assumptions based on what they see and hear in general, it is best to keep in mind that no event is completely the same as another. The exact way that markets will turn out is something that is always challenging to predict.
On the other hand, history shows that although there are uncertainties when it comes to financial markets, declines are impermanent. Markets tend to resume their uptrend after forming a bottom when it comes to geopolitical events involving military conflicts. This means that rates will eventually renew their climb.
It would be wise to buy a home before rates start to rise again, as this may be the most affordable option.
Seeking advice from your trusted realtor is an imperative step if you want to make sure that you are doing the best move at the right time. Contact the best real estate agent in Long Island and the top real estate agent team in town: The Island Wide Team! We're happy to help:
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