Mortgage Rates Drop Below 5%: Lowest Mortgage Rates in 4 Months

Home mortgage rates have dropped below 5% for the 30 year fixed mortgage to 4.99%. Also the 15 year home mortgage has dropped to 4.26% and the 5 year ARM (adjustable rate mortgage) has dropped to 4.25%. These are the lowest that home mortgage rates have been in the last 4 months.

Home mortgage rates have been rising since December as the Fed is tightening monetary policy and the mortgage industry has reacted with higher mortgage rates. It is unlikely that there will be lower interest rates in the near term, but this is a good sign for the housing market and for real estate buyers.

Will mortgage rates keep going up? When will mortgage rates go down? Nobody knows the answer to these questions, but this is short-term good news for buyers who are trying to buy their first home or people who have been shut out of the real estate market in the last couple years because of increase home buying.

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