Mortgage Rates: What Homebuyers Can Expect 2025
Nathan Steiner, SVP Mortgage Lending -Rate
As we head into the New Year, the housing market has steadily been picking up, with multiple offers on homes and overall increased activity – all signaling a strong market ahead. As sales of existing homes continue to grow moderately, experts predict that the market will see an increase in both the supply of available homes on the market, as well as a rise in demand, as more buyers and sellers who have been sitting on the sidelines because of higher rates choose to make a move. That’s one big reason why experts are projecting an increase in home sales this year.
If you’re in the market for a new home, now is the perfect time to get prepared, educate yourself and take advantage of the momentum.
Being thoroughly prepared and feeling confident comes with having the knowledge and answers to all of your questions before searching for a home. Finding a trusted local realtor and getting pre-approved are two of the most important steps before starting the home buying process.
As we begin 2025 with optimism, it’s important to remember while it’s a bit difficult to be total accurate when it comes to predicting future mortgage rates, all signs point in the right direction. Although current rates have risen, many experts remain positive with expectations that mortgage rates should ease a bit. Economists predict slight improvements in affordability in 2025, but any gains will likely come from growing wages or increased disposable income from tax breaks, rather than falling home prices. Regardless of current rates, it’s always wise to get all your ducks in a row before starting your home search, including getting pre-approved for a mortgage.
As the local SVP of Mortgage Lending at Rate, and a leader across the country for over 20 years, there’s not much I haven’t seen or dealt with before. My team and I take a consultative approach for each of our clients and work to structure a plan that is specific to their needs by reviewing both their personal and financial goals. For many, purchasing a home is one of the biggest investments you make in a lifetime. I will always be committed to making that process an easy one and provide you with the tools to help your financial growth. Last year, we had the privilege to help over 230 families, 190 turned their dreams of homeownership into a reality, 40 refinanced, providing debt consolidation and financial savings and we were able to provide 40 grants totaling over $173,000 in financial credits towards first time homebuyer purchases.
Let’s start 2025 off strong, review your opportunities to buy or save on your current mortgage and make it the best year yet!
Nathan Steiner | nathan@rate.com