Mortgage Rates Drop Slightly But Need to Fall Further to Spur Homebuying; Big Declines May Wait Until 2024

Average 30-year mortgage rates have fallen recently but likely need to drop more to spur homebuyer demand. Substantial drops may not happen until 2024.

Inflation slowing down but the Fed wants to see it come down further before pausing rate hikes, which affects mortgage rates.

Home prices unlikely to see huge drops this year, even with lower demand. Low supply will limit price declines.

Fixed-rate mortgages offer stability but higher rates. ARMs start lower but can adjust upwards. Consider budget and plans.

ARMs start with fixed intro period then adjust periodically based on an index and lender margin. Have limits on adjustments.