New findings out from Redfin note that nearly half of would-be buyers would feel more urgency to buy a property if/when mortgage rates hit 3.5 percent.
That’s according to a Redfin-commissioned survey of 1,500 U.S. residents planning to buy or sell a home in the next 12 months. Focusing on the 1,092 of those respondents who indicated they were planning to buy a home in the next year, 47 percent say hey would feel more urgency to buy a home if mortgage rates rose above 3.5 percent.
Some 29 percent would look for homes in different areas or consider smaller houses, while 14 percent would slow their search in hopes of rates coming down from the 3.5 percent mark. Just 2 percent of survey participants said they would cancel their home-buying plans altogether.
According to Freddie Mac, mortgage rates hit their highest average since May 2020 this week, clocking in 3.22 percent. Redfin Chief Economist Daryl Fairweather expects rates to hit 3.6 percent by the end of 2022.
Be sure to check out California Listings weekly Mortgage Minute report, covering the weekly average mortgage and refinance rates, published every Saturday at www.californialistings.com