July 25th, 2023 Mortgage & Refinance Rates: Steady at Elevated Levels
Mortgage interest rates have shown divergent movements this week, as per Bankrate’s compiled data. The table below provides a detailed breakdown of how each loan term fared.
After implementing interest rate hikes for 10 consecutive meetings in 2022 and 2023, the Federal Reserve made a notable decision to abstain from any increase during its June 14 meeting.
Financial experts are now divided on the implications of this move. Some speculate that the Fed might be done with its fight against inflation, while others consider it a temporary pause in the ongoing rate hike cycle.
Lisa Sturtevant, chief economist at Bright MLS, a prominent multiple listing service in the Middle Atlantic region, asserts that the Fed’s goal of achieving 2 percent inflation is likely to lead to a resumption of rate increases. She believes the Fed’s commitment to reaching that milestone remains strong, which could mean a higher probability of the economy entering a mild recession, either later this year or early next year if rate hikes resume.
Please note that the rates mentioned above are averages based on specific assumptions. Actual rates displayed on the website may vary. This information has been verified by Suzanne De Vita, ensuring accuracy as of Tuesday, July 25th, 2023, at 7:30 a.m.
If you’re looking to save thousands of dollars over the life of your mortgage, consider obtaining multiple offers from different lenders. Conducting a thorough comparison of mortgage offers from various sources is always a prudent move. This practice became even more crucial during the interest rate surge of 2022, as revealed by research conducted by mortgage giant Freddie Mac. The study demonstrated that bargain-hunting borrowers saw their savings double last year.
Mark Hamrick, senior economic analyst for Bankrate, emphasizes the importance of shopping around when seeking a mortgage. While the process of buying a home can be overwhelming, taking the time to find the best deal on a mortgage can result in significant savings. Hamrick urges homeowners not to leave money on the table and advocates for the extra effort required to secure the best rate or lowest cost on a mortgage. The potential return on investment for this endeavor is truly worthwhile.