Experts are predicting that mortgage rates could see a modest increase in April as businesses and consumers prepare for higher tariffs on imports. The uncertainty surrounding tariffs and their potential impact on the economy is making it difficult to accurately forecast mortgage rates at this time. Higher tariffs could lead to an increase in inflation, which in turn could cause mortgage rates to rise.
The Trump administration’s plans to impose higher tariffs on imports from major trading partners are adding to the uncertainty. Economists are warning that these tariffs could result in higher prices for businesses and consumers, potentially leading to an increase in inflation. This could cause mortgage rates to rise as well.
Despite the uncertainty, some experts believe that mortgage rates have already been influenced by the anticipation of higher tariffs. Lenders have been factoring in the potential for increased tariffs for months, leading to a gradual increase in mortgage rates since September.
As the spring and summer homebuying season approaches, experts recommend focusing on personal circumstances rather than trying to time the market based on predictions of mortgage rates. While some forecasters predict a decline in mortgage rates by early 2026, others expect rates to remain around 6.5% for the rest of the year.
Ultimately, the advice is to take advantage of favorable mortgage rate windows as they arise, rather than waiting for a sustained drop in rates. The unpredictability of economic policy and tariffs makes it difficult to accurately predict the direction of mortgage rates, so it is best to make decisions based on individual circumstances rather than market forecasts.
Note: The image is for illustrative purposes only and is not the original image associated with the presented article. Due to copyright reasons, we are unable to use the original images. However, you can still enjoy the accurate and up-to-date content and information provided.
