Will mortgage rates drop below 6% in 2024? Here’s what some experts think

The US economy is in a tricky spot. To close out 2023, fourth quarter GDP measured at a robust 3.3% annual growth rate, but inflation remains above the Fed’s desired 2% target, so the central bank has yet to cut interest rates. Still, many expect that rate cuts will come this year as the economy and inflation cool down more. For the mortgage market, that could also mean that rates come down.

Already, 30-year mortgage rates have fallen from recent highs. While they reached approximately 8% in October 2023, they now average 6.63% as of the beginning of February 2024, according to Freddie Mac.

But what will happen the rest of the year? Below, we’ll look at three possible mortgage rate scenarios.

If you’re in the market to buy a home then start by exploring your mortgage rate options here now.

 

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