Knowing the mortgage rates predictions is a very smart way to know when it is the best time to apply for your mortgage, because you can easily get the best rate and save money.
Also you can also benefit from this information as a mortgage lender by knowing when the rates will go up and when down, so you know it is most profitable for you to lend your money or keep it to yourself.
But here is a very important question. . .
How Can You Accurately Predict Mortgage Rates?
Before you are able to predict the rates effectively and correctly, you need to know what makes the mortgage rates go up or down.
There are several factors having an effect on the rates. One of them is the stock market.
If the stock market is doing very good and gives high profits overall, many investors will put their money in the stock market and few lenders will be available for mortgages.
So naturally, the rates will go higher because there are still many people to borrow money but few mortgage lenders.
But on the opposite side, if the stock market is not doing good more people offer their money as mortgages so the rates will go down.
Another factor is predicting mortgage rates is the Forex market (Foreign Exchange).
What's more, the current mortgage rates also play a big role on the changes that may happen. So knowing the current rates is totally necessary for you to be able to predict them in the future.
How Reliable Are Mortgage Rate Predictions ?
As you know, no prediction is 100% accurate. This even goes for something as easy as predicting the weather tomorrow.
So in the more complicated world of finance and mortgages, it happens sometimes that even the best experts make a wrong prediction too.
But still, it is wiser to plan your mortgages in advance with a reliable prediction rather than just going trusting chance and luck.
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