Where Are Mortgage Loan Interest Rates?
It can be virtually impossible to track home mortgage rates. Mortgages are like any other investment – the rates can change at a moment’s notice. If you’re looking for the most current home loan interest rate, we encourage you to check out the HSH website, which provides the most current home mortgage rates data available. They survey anywhere between 2,000 and 3,000 lenders nationwide, and they’ve been doing it for more than 30 years. Their statistics are even used by Freddie Mac, Fannie Mae, and are the standard on Wall Street. You can follow HSH.
Home Loan Rate Trends
As of the time of this writing (August 31, 2014), home mortgage rates were low, and global investors continued to consider the United States as a safe, profitable place in which to invest.
30-year fixed rate mortgages held fairly steady over the last period, with a drop of just .01% from 4.24% to 4.23%. This is down from last month (4.28%) and also from last year (4.62%), but shouldn’t be considered an alarming trend. Fixed rate 15-year mortgages were up .01% (from 3.37% to 3.38%)
For now, home loan interest rate trends will likely remain low, largely due a significant drop in European bond yields, which is due to speculation that the European Central Bank might employ measures to fight substandard growth, and also due to the threat of deflation.
In the US, treasury yields were below 2.4%.
Home mortgage rates are expected to go up, but could be somewhat suppressed due to tension between Russia and the Ukraine.
The Consumer Confidence Report shows that American consumers are feeling confident about the economy. The consumer confidence index increased by 2.1% over July. So, home loan interest rate looks favorable at the moment.
So What’s Next?
As of this writing, political and economical issues worldwide will keep mortgage interest rates low in the United States, but this isn’t going to last forever. The federal funds rate will likely be raided next year, and that means that mortgage interest rates will go up.