Liz and I had a blast at our grandson's 1st birthday party last week. Young Luke was a little less enthusiastic about his cake than his older brother George, and way less enthused than his dad back in the day. It's a shame Liz didn't teach the boy better manners.
Luke - October 2021
George – February 2020
Matt – February 1995
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The second most asked question I get is about the direction of interest rates. Like our cake eaters, the expert prognosticators have varying degrees of enthusiasm for the rate trend in 2022. Below are some thoughts from William Roseberry, a local lender who understands the economic influences on interest rates better than anyone I know.
"Over the next several weeks, consumers are going to hear on the news media that rates are going up because the Fed is tapering its bond purchases. Please keep in mind that rates have "already” gone up. The 30 year fixed was @2.75% and is now hovering @3.25%.
Another thought regarding higher rates is coming from the current spike in inflation. Companies over ordered products and now can’t get those products into their stores. Low Inventory + Higher Wages = Higher Prices & Higher inflation.
As we enter the Christmas holidays, there will continue to be a spike in prices as people fight to get their Christmas shopping list filled. Keep in mind, the market knows this higher inflation is temporary. Once the American people get back to work, we will see prices go back down which will fix our inflation problem. Having said that, I think it’s safe to tell clients that rates will stay in the mid 3’s possibly going up into the upper 3’s by next summer."
William Roseberry, Branch Manager
NMLS #68916
Fairway Independent Mortgage Corp.
(704) 622-6896
As always, please contact us if we can help with any questions you might have regarding buying or selling now and in the future. We are always glad to talk with you.
