Anonymous
07/09/2025 13:25
Subject: When will rates come down again?
If rates do fall a lot home prices might rise a lot so in that case an ARM is a WIN WIN
Anonymous
07/09/2025 13:09
Subject: When will rates come down again?
It doesn’t matter if trump or his roadie lowers the fed funds rate to zero: mortgage rates are determined by the 10 year treasury rate, which is determined by supply/demand in the treasury auction market. If investors are at all spooked by increasing debt levels or potential inflation, they will demand a higher rate in those auctions, toadies be damned.
Anonymous
07/09/2025 12:51
Subject: When will rates come down again?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Federal Reserve is expected to lower interest rates twice this year (1/4 pt each most likely). That should bring down slightly
Unless Trump fires Powell and installs a toadie. Then rates will drop a full point each time.
Powell’s term expires in 2026. Trump will not force that issue before then. His team knows the market will react violently.
I don't think he cares. He's openly saying that current service costs are too high on the national debt, which he wants to increase by another $4 trillion. He wants the rate at 1% (a number I'm sure he just grabbed out of the air).
Regardless what he says, he does care. That’s why he hasn’t done it yet.
Anonymous
07/09/2025 12:40
Subject: When will rates come down again?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Federal Reserve is expected to lower interest rates twice this year (1/4 pt each most likely). That should bring down slightly
Unless Trump fires Powell and installs a toadie. Then rates will drop a full point each time.
Powell’s term expires in 2026. Trump will not force that issue before then. His team knows the market will react violently.
I don't think he cares. He's openly saying that current service costs are too high on the national debt, which he wants to increase by another $4 trillion. He wants the rate at 1% (a number I'm sure he just grabbed out of the air).
Anonymous
07/09/2025 12:37
Subject: When will rates come down again?
Anonymous wrote:Anonymous wrote:Federal Reserve is expected to lower interest rates twice this year (1/4 pt each most likely). That should bring down slightly
Unless Trump fires Powell and installs a toadie. Then rates will drop a full point each time.
Powell’s term expires in 2026. Trump will not force that issue before then. His team knows the market will react violently.
Anonymous
07/09/2025 12:32
Subject: When will rates come down again?
Anonymous wrote:Federal Reserve is expected to lower interest rates twice this year (1/4 pt each most likely). That should bring down slightly
Unless Trump fires Powell and installs a toadie. Then rates will drop a full point each time.
Anonymous
07/09/2025 12:27
Subject: When will rates come down again?
Federal Reserve is expected to lower interest rates twice this year (1/4 pt each most likely). That should bring down slightly
Anonymous
07/09/2025 12:14
Subject: When will rates come down again?
Anonymous wrote:For the past 10-15 years, homebuyers enjoyed remarkably low interest rates, driven by the Federal Reserve's efforts to stimulate the economy after the 2008 financial crisis and the 2020 pandemic. The Fed cut interest rates, bought large quantities of government bonds (quantitative easing), and low inflation gave them room to maneuver. All of this made borrowing cheaper and encouraged spending, including on homes.
However, the economic landscape has changed, and interest rates have recently risen to combat inflation. Looking ahead 5-10 years, expect a shift. For example, the 30-year fixed mortgage rate is expected to hover around 6.7% in 2025 and may dip to roughly 4.7% by late 2027 before climbing back towards 6% by 2029. However, the days of sub-3% rates are likely over. Rates are expected to settle at levels higher than the pandemic-era lows, possibly in the range of 5-6% for 30-year fixed mortgages in the long run. Several factors will influence the exact path of rates, including inflation, economic growth, global events, and government policies - especially as Trump continues his TACO approach to tariffs and the economy.
Good points, and the move away from the US dollar as reserve currency means lower demand for dollars globally, and thus higher interest rates for US residents and businesses, since fewer people will be buying US debt. This is one of the many costs of what Trump and his band of fools have done.
Anonymous
07/09/2025 11:43
Subject: When will rates come down again?
For the past 10-15 years, homebuyers enjoyed remarkably low interest rates, driven by the Federal Reserve's efforts to stimulate the economy after the 2008 financial crisis and the 2020 pandemic. The Fed cut interest rates, bought large quantities of government bonds (quantitative easing), and low inflation gave them room to maneuver. All of this made borrowing cheaper and encouraged spending, including on homes.
However, the economic landscape has changed, and interest rates have recently risen to combat inflation. Looking ahead 5-10 years, expect a shift. For example, the 30-year fixed mortgage rate is expected to hover around 6.7% in 2025 and may dip to roughly 4.7% by late 2027 before climbing back towards 6% by 2029. However, the days of sub-3% rates are likely over. Rates are expected to settle at levels higher than the pandemic-era lows, possibly in the range of 5-6% for 30-year fixed mortgages in the long run. Several factors will influence the exact path of rates, including inflation, economic growth, global events, and government policies - especially as Trump continues his TACO approach to tariffs and the economy.
However, the economic landscape has changed, and interest rates have recently risen to combat inflation. Looking ahead 5-10 years, expect a shift. For example, the 30-year fixed mortgage rate is expected to hover around 6.7% in 2025 and may dip to roughly 4.7% by late 2027 before climbing back towards 6% by 2029. However, the days of sub-3% rates are likely over. Rates are expected to settle at levels higher than the pandemic-era lows, possibly in the range of 5-6% for 30-year fixed mortgages in the long run. Several factors will influence the exact path of rates, including inflation, economic growth, global events, and government policies - especially as Trump continues his TACO approach to tariffs and the economy.
Anonymous
07/09/2025 11:11
Subject: When will rates come down again?
Anonymous wrote:Anonymous wrote:Bummer for you. I refinanced in the end of 2021 and got an ARM with an interest rate of 1.7 percent — 1.7 percent! — for the first seven years. I still have more than three years left at that rate. After that, the loan adjusts every year but has a five percentage point lifetime cap meaning the worst I can ever get is 6.7%, which isn’t that much higher than rates are right now. I was a very smart about this.
I was also very smart. I purchased a residence in an elite school district in Potomac in 2021 with an interest rate in the 2’s that has gone up ~$400K in value.
I think you are confusing smart for rich.
Anonymous
07/09/2025 08:13
Subject: When will rates come down again?
Anonymous wrote:Bummer for you. I refinanced in the end of 2021 and got an ARM with an interest rate of 1.7 percent — 1.7 percent! — for the first seven years. I still have more than three years left at that rate. After that, the loan adjusts every year but has a five percentage point lifetime cap meaning the worst I can ever get is 6.7%, which isn’t that much higher than rates are right now. I was a very smart about this.
No you weren't. I got a fixed 30 year mortgage in 2021 at 2.5. If I am still paying off that mortgage in 2051 (which I probably won't be) it will still be at 2.5. Unless you are going to pay off an ARM before the reset, it is not a good bet.
Anonymous
07/09/2025 08:10
Subject: When will rates come down again?
Anonymous wrote:Bummer for you. I refinanced in the end of 2021 and got an ARM with an interest rate of 1.7 percent — 1.7 percent! — for the first seven years. I still have more than three years left at that rate. After that, the loan adjusts every year but has a five percentage point lifetime cap meaning the worst I can ever get is 6.7%, which isn’t that much higher than rates are right now. I was a very smart about this.
I was also very smart. I purchased a residence in an elite school district in Potomac in 2021 with an interest rate in the 2’s that has gone up ~$400K in value.
Anonymous
07/09/2025 07:48
Subject: When will rates come down again?
Bummer for you. I refinanced in the end of 2021 and got an ARM with an interest rate of 1.7 percent — 1.7 percent! — for the first seven years. I still have more than three years left at that rate. After that, the loan adjusts every year but has a five percentage point lifetime cap meaning the worst I can ever get is 6.7%, which isn’t that much higher than rates are right now. I was a very smart about this.
Anonymous
07/09/2025 07:43
Subject: When will rates come down again?
They’re still low from a historical perspective. I could see them coming down a bit, but don’t think we’ll see anything below 4% in our lifetime.
Anonymous
07/09/2025 07:35
Subject: When will rates come down again?
1 year? 5? Never?? I know the lows of a few years ago were historically unusual, but man any break would help!