Mortgage rates forecast

If mortgage rates fall below 4%, it could more than double the dollar volume of agency mortgages exposed to refinancing incentive, analysts at Keefe, Bruyette & Woods found.

The Federal Reserve decision to shift into Treasuries could pull rates down and increase the prepayment speeds on mortgage-backed securities.

The 30-year mortgage rate dipped lower than it was 12 months ago for the third week running, according to Freddie Mac's latest report.

The Federal Reserve will roll its maturing holdings of mortgage-backed securities into Treasuries starting after September, capping it at $20 billion per month.

Fannie Mae estimates the average 30-year fixed-rate mortgage to hold at 4.4% through 2019 and 2020 due to the overall slowdown in the economy, according to the March housing forecast.

Mortgage rates declined across the board this week, which should make home buying more attractive although there are continuing concerns about inventory, according to Freddie Mac.

The increase in average mortgage rates this week should not affect the spring home purchase market because other factors remain strong, according to Freddie Mac.

Freddie Mac again increased its origination forecast for the next two years, as the rate drops of the past few months are expected to boost refinance volume.

With few headlines to drive up or down movement in the bond markets, mortgage rates held steady after declining for three consecutive weeks, according to Freddie Mac.

As expected economic growth remains at 2.2% — down from 2018's 3.1% — 2019 should only be accompanied by a solitary rate hike from the Federal Reserve, according to Fannie Mae.