Andrew Shader

With the state of global affairs seemingly more unstable than ever, it’s critical for anyone who is considering buying or selling a home to stay in touch with what’s happening with the housing market and mortgage rates, advises real estate expert Andrew Shader.

After hitting record lows in early 2021, mortgage rates have been steadily climbing, reaching 4% in March 2022 for the first time since May 2019. In the past few weeks, however, rates have been falling again.

The State of the World and Mortgage Rate Fluctuations

Historically, uncertainty concerning global events impacts mortgage rates across nations, including the United States. Recently, the war between Ukraine and Russia has caused a downward trend in those rates, and experts advise that this type of trend isn’t unexpected.

Previously, after the “Brexit” vote in 2016, mortgage rates in the U.S. declined in response to the decline of the U.S. Treasury bond yield. The 10-year Treasury yield has a direct influence on mortgage rates. It’s frequently considered to be a prime indicator of how rates are going to trend. Basically, events that happen overseas affect mortgage rates in the U.S. because the economy is more globalized than ever before.

How Will Mortgage Rates Trend for the Rest of 2022?

Even though no one can predict for sure what will happen with mortgage rates for the rest of the year, most market experts agree that the dip in rates we’re seeing right now will be temporary.

As geopolitical tensions caused Treasury yields to decline and subsequently caused mortgage rates to do the same, they are likely to increase in the coming months, mainly because of inflationary pressures. Because of recent global events, mortgage rates are likely to fluctuate in the short term but will begin to climb again before long.

What It All Means for Homebuyers

If you are contemplating purchasing a home, you may want to do so sooner rather than later. Even slight changes in mortgage rates often mean a difference of thousands of dollars in mortgage payments (or savings) for the homeowner.

In times of uncertainty, it’s recommended that homebuyers look to the guidance of a real estate advisor for updated information on market trends and advice about their move.

About Andrew Shader

A graduate of Florida State University, Andrew Shader is a real estate investor, developer, and entrepreneur. With a background in accounting, insurance, and technology and a B.S. in business, marketing, and management, he specializes in purchasing properties and increasing their value. His strategies, which don’t rely on any future appreciation, have led to increases in the values of these properties by upwards of 60%.

Mr. Shader founded his real estate business in 2016, and since then, he has built an impressive portfolio around a specific philosophy: He does not buy properties for what they are but instead buys them for what they could be. Andrew Shader applies corrective measures to bring properties up to their full market potential. Using his strategic forecasting, financial planning, and management skills, he exploits market openings across many locations.