Four winners to emerge from Brexit
2. U.S. homecomers
The promise of continued low rates in Brexit’s wake could be good news for U.S. homeowners, both current and potential. For the week of June 20, the mortgage rate on a 30-year home loan fell to 3.75%, its lowest level since May 2013, according to the Mortgage Bankers Association. Some analysts are even forecasting mortgage rates—which tend to track 10-year Treasury yields—to sink to record lows in the coming weeks. This move is expected to spur a wave of new loan applications and refinancing as borrowers rush to lock in historically low rates.
Home prices in the U.S., meanwhile, continue to improve after the financial crisis. Prices advanced 5% year-over-year in April, according to new data from the S&P/Case-Shiller Home Prices Indices. The 20-City Composite Index, in fact, is back up to its winter 2007 level.