Where Are Interest Rates Headed in 2019?

The interest rate you pay on your home mortgage has a direct impact on your monthly payment. The higher the rate, the greater the payment will be. That is why it is important to know where rates are headed when deciding to start your home search.

Below is a chart created using Freddie Mac’s U.S. Economic & Housing Marketing Outlook. As you can see, interest rates are projected to increase steadily throughout 2019.

Where Are Interest Rates Headed in 2019? | MyKCM

How Will This Impact Your Mortgage Payment?

Depending on the amount of the loan that you secure, a half of a percent (.5%) increase in interest rate can increase your monthly mortgage payment significantly. But don’t let the prediction that rates will increase stop you from purchasing your dream home this year!

Let’s take a look at a historical view of interest rates over the last 45 years.

Where Are Interest Rates Headed in 2019? | MyKCM

Bottom Line

Be thankful that you can still get a better interest rate than your older brother or sister did ten years ago, a lower rate than your parents did twenty years ago, and a better rate than your grandparents did forty years ago.

WRITTEN BY:

Janet is a Newton Realtor, an adoring grandmother, and a secret geek. Janet grew up driving around in the family station wagon looking at houses with her mother and sister (who is now also in real estate)! She is passionate about her Newton community and is Co-founder of OurNewton.org, a community network that promotes news and events in Newton for 9 years running. She has won multiple awards for production and was the Good Neighbor Award winner in 2012 from the Greater Boston Association of Realtors. Not only is Janet a local expert she also travels twice a year to participate in Keller Williams networking events where she has developed strong connections with agents all over the country! Janet has the unique combination of being a seasoned realtor with cutting-edge technology skills. Janet is ready to move when you are.

LEAVE A COMMENT