Cincinnati Real Estate

Greater Cincinnati's Real Estate Connection

Will Mortgage Interest Rates Rise?

filed under: For Buyers posted on November 26th, 2012

According to a recent article in Keeping Current Matters -shared an interview with those who with it on a daily basis – The Mortgage Bankers Association (MBA). Here is what was reported by MarketWatch in a recent article:

“After reaching record lows in 2012, mortgage rates are expected to creep up slowly in the year ahead, the Mortgage Bankers Association predicted.

Mortgage Interest Rates

Rates on the 30-year fixed-rate mortgage are expected to average 3.8% in the fourth quarter of 2012, rising to 3.9% in the first quarter of 2013 and eventually rising to an average 4.4% by the fourth quarter of next year.”

And locally Dan Green, The Mortgage Report, points out that mortgage rate typically rise after the Thanksgiving holiday.

It’s really simple math and incremental interest rate hikes can impact buying power in the greater Cincinnati real estate market and according to a chart below (from by Keeping Current Matters) borrowers can lose up to 5% buying power even when rates rise by even a half a point.


Only time will tell what will happen to interest rates-but if you are thinking about buying or selling your home or condo- waiting until after the holidays may not be cost effective for anybody.  Just something to think about.
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