2023 is shaping up to be a crazy year in terms of getting a mortgage and buying a home in Regina. Everything is slowing down and rates are increasing which has really made an impact on the economy and the real estate market as a result. However, getting a mortgage and buying a home isn’t something you necessarily need to count out. There are just some things you will likely want to know about mortgages and getting one in Regina!
Interest Rate Predictions
What do interest rates really look like in 2023? Well, it’s safe to say you can expect interest rates to continue to increase over the first half of the year or so. Inflation is likely to blame for this as prices are rising all around. It has also meant for an increase in demand, even as prices continue to climb. Be sure to take this into consideration as you’re timing out your home purchase.
Long-Term Mortgage Rates
Rates are increasing, but that doesn’t necessarily mean the effects of those increases have made their way through the economy. As the economy slows in the longer term, and a drop in inflation takes place, rates are also a lot more likely to drop.
It’s likely that the five-year rate will be the first to see a reduction.
Navigating High Interest Rates
We might feel the effects of the increasing mortgage rates over the next year and see an impact on consumer demand. However, as demand goes down, so will interest rates. So, you can expect those high interest rates to eventually come down. It might be worth waiting for lower interest rates, but don’t forget you should be able to pay your mortgage if rates are to go up as well. AKA – don’t forget about the stress test!Getting a mortgage in Regina isn’t always as simple as it sounds, but we can help make the entire process a lot easier and more stress free! Be sure to get in touch with us today if you have more questions.