May Mortgage Predictions: Prepare for Rates to Stay Above 6.5%

Mortgage rates can change daily and even hourly. Tharon Green/CNET The housing market has remained relatively unchanged this year. According to Bankrate data, the average rate for a 30-year fixed mortgage is around 6.9%. Rates are expected to remain in the current range, between 6.5% and 7%, for a while. Since late January, the mortgage market has followed a somewhat parallel path to the White House's erratic policies, shifting between volatility and recovery and then back to volatility. For example, while home sales slightly increased in February, mortgage activity plummeted the following month. In April, President Donald Trump's tariff announcement sparked widespread inflationary anxiety and caused the stock market to sell off, giving buyers another reason to wait. Earlier in May, there was a boost in homebuyer demand as markets cheered a temporary US-China tariff truce. In short, today's economic instability has a significant impact on the housing market. "Uncertainty tied to h ... Read full article.