Get Ready for Higher Mortgage Rates. Here’s Why

Barron’s, Jan. 14, 2021–Shaina Mishkin
If spreads between the 10-year and mortgage rates remain in their current range, mortgage rate would likely rise to approximately 3.5% by the end of 2021, said Joel Kan, associate vice president of economic and industry forecasting for the Mortgage Bankers Association. While a mortgage rate increase would likely temper some demand for refinances, Kan says he does not expect rising rates to affect the home purchase market.