Mortgage rate projections for the next 5 years

Mortgage rates have dropped by a half-point over the last year, according to Freddie Mac. But where are rates headed in the long term? Mortgage interest rates are determined by several factors, with the 10-year Treasury yield being a primary one. Mortgage rates are tuned to the government bond market Mortgage rate forecasts may be best derived from trends in 10-year Treasury note rates. While the two rates often track in the same direction, there is a spread between them that we will account for below. ...