Mortgage to rise throughout the year. Expect 6-7% for 5 year mortgages in 2011, to 7-8% for 2012.
Demand for mortgage to decrease due to subdued economic growth in 2011.
Mortgage refinance applications to drop due to restrictions placed on new financing such as the reduced term and higher down payments on a purchase.
Cash purchases to be the trend before putting a down payment on an offer to purchase a home.
Mortgage loan process to take up to 3 months for approval. Dont apply less than 60 days to closing. Best bet is to make an application for a mortgage 3-4 months before closing.
