Mortgage Rate Forecast: Predictions for the Housing Market Through 2028

The average 30-year fixed mortgage rate is expected to remain in the mid- to high-6% range through 2028 due to persistent inflation and economic uncertainty. Rates rose after the Middle East conflict and are unlikely to drop to pandemic-era lows soon. Home prices will continue to rise modestly, and buyers should prepare for higher borrowing costs. Sellers face challenges due to rate lock-in but can leverage home equity. Refinancing is mostly beneficial for recent buyers or those seeking shorter terms or fixed rates.