Not all players in the mortgage industry are saying the same thing when it comes to projections for mortgage rates in the future.
■ Fannie Mae projects that the 30-year fixed rate could stay at 2.8%, and rise to 2.9% in 2022.
■ Demand for mortgages has remained strong throughout 2020, exceeding 2019 demand as total home sales will increase 5.7% this year over 2019, to 6.37 million units on a seasonally adjusted annual rate basis, according to Fannie Mae.
■ This demand is compounded by the 21.5% increase in new-home sales and increase in existing-home sales by 3.6% on a year-over-year basis.
■ Fannie Mae is projecting that home sales will somewhat flatten out, projecting an increase of 0.8% for 2021.
■ The Mortgage Bankers Association is not seeing the rates staying at the under 3% level, but actually is projecting the 30-year fixed mortgage to go from 2.9% in the current quarter to 3.3% by the end of 2021 and to 3.6% by the end of 2022.
If you have any questions about this information or title insurance, please contact Ralph Aponte: 732.914.1400.
Counsellors Title Agency, www.counsellorstitle.net, founded in 1996, is one of New Jersey’s most respected title agencies, serving all 21 New Jersey counties with title insurance, clearing title, escrow, tidelands searches, and closing and settlement services for commercial or industrial properties, waterfront properties and marinas, condominiums, townhouses or residential single family homes. Counsellors Title also features its own Attorney Settlement Assistance Program™ [ASAP], which is an individual resource customized to fit the needs specifically of real estate attorneys, including, Documentation, Preparation, Disbursement of Funds, Attendance at Closing, HUD Preparation or Post-Closing Matters.