Here are the 5 most ‘overvalued’ housing markets in the US — they could even see prices plunge 15% to 20% if a bad recession hits. Fannie Mae forecasted at the start of the year that the average 30-year fixed mortgage rate will rise from 3.1% to 3.3% by the end of 2022. The Mortgage Bankers Association was somewhat more optimistic about mortgage rates, projecting that the average rate will increase to 4% by the end of 2022.
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