Since Donald Trump won the election, mortgage rates (alongside other interest rates) have increased from 3.5% on Election Day to 3.95% on November 22. In a piece originally published on Business Insider, staffer Akin Oyedele explains why prospective buyers are expected to rush the market to take advantage of the mortgage rates while they are still considered to be low.
According to the NAR's monthly report, existing homes sales rose at their highest annualized pace in a decade during October:
And if mortgage rates continue rising, existing-home sales — which record the most housing transactions — could increase to record levels. Additionally, a strong jobs market and higher wages could offset any drop in demand that higher mortgage rates cause, according to David Berson, the chief economist at Nationwide.