Housing Market Could See 'Massive' Refinance Boom After Election: Expert

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The expert suggests that rates may fall prompting homeowners to change their mortgages.

Falling mortgage rates in recent weeks have inspired homeowners to refinance their homes. Some analysts suggest that the trend could continue amid cooling inflation and the expectation that the Federal Reserve will slash borrowing costs sooner rather than later.Mortgage broker and CEO of Maryland-based First Trust Financial Marty Harlee told personal finance platform GoBankingRates that there could be a jump in refinancing after the November election.

'We may not see a significant boom in refinance activity until rates continue to go down a bit further maybe into, you know, the 5 to 5 and a half percent range,' he said.Recent data has suggested that refinancing has picked up amid a drop in rates. McLaughlin pointed out that this was from a low base. He went to suggest that most homeowners are sitting on mortgages of under 5 percent.

 

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