Last week, the Mortgage Bankers Association (MBA) provided its latest housing forecast during its Annual Convention, which expects purchase mortgage originations to grow by 9% in 2022 to a new record of $1.73 trillion.
Refinance originations, however, are expected to decrease by 62% in 2022, which the MBA believes will lead to a 33% decline in overall mortgage originations compared to 2021. That said, purchase originations are still forecasted to reach a record high due to robust demand from millennials, those seeking more space, and low mortgage rates.
When it comes to mortgage rates, the MBA predicts that the rates for a 30-year, fixed-rate mortgage will rise to 3.1% by the end of the year and as high as 4% by the end of 2022.
For more information, check out the MBA’s press release.
Sources:
MBA – mba.org
National Mortgage Professional – nationalmortgageprofessional.com
