According to Bloomberg World Interest Rate Probability data, the odd of another rate hike in the US by the Federal Reserves is 76.7%!
Should you be considering locking in a mortgage rate, you may wish to do so sooner than later.
The US prime rate stayed at 3.25% from December 16, 2008 until December 15, 2015, a stretch of 7 years!! The prime rate was then increased to 3.7% last December 15, and 2017 has witnessed two increases in the prime rate, to 4% March 16, 2017 and to 4.25% June 15, 2017. Should the Fed raise the fed funds rate again before year end, I would anticipate another .25% increase, which in turn would lead the US prime rate to 4.5%. Even with the increases we have seen, the rate is still incredibly lower than the all time high in the US prime rate of 21.5% set Decemmber 19, 1980!!!
Here is a link to a history of where the US prime rate has been over the years.
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