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Mortgage rates in 2020 have dropped due to the Federal Reserve lowering rates in response to COVID-19 As of this writing in November 2020 the average 30-year fixed mortgage rate with a 20 down payment had just hit fresh record lows at 272 according to Freddie Mac.
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The National Association of Realtors expects mortgage rates to average 31 percent in 2021 up from 3 percent in 2020 The Mortgage Bankers Association says rates will average 33 percent in 2021.
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Despite low returns near-zero interest rates lower the cost of borrowing which can help spur spending on business capital investments and household expenditures Businesses' increased capital spending can then create jobs and consumption opportunities.
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