Mortgage rates in December 2024 should remain somewhat stable after pushing higher post election. It now appears the bond market is taking a “wait and see” approach to what will happen in 2025. Bond markets were ready to rally, pushing yields (and mortgage rates) lower. However, Trump’s plan for the economy is inflationary (bigger deficits and tarrifs) and that has bond investors worried.
Opportunities And Risks For December 2024 Mortgage Rates
December 2024 mortgage rates are probably going to end the month near or at levels seen at the begining of the month unless some sort of unknown even happens. Mortgage rates already jumped signficantly post election and it does not appear the bond market is ready to push rates higher (or lower) until we get to the first quarter of 2025.
K.O. Home Loan Solutions December 2024 Mortgage Rate Forecast
Here are our latest December 2024 mortgage rate forecasts for California:
- 30-year fixed rates below 6.625%
- 20-year fixed rates below 6.50%
- 15-year fixed rates below 6.375%
K.O Home Solutions December 2024 mortgage rate forecast is based on properties in California, a loan amount of $350,000, a primary home, excellent credit (740 or higher credit score), and a Loan-To-Value ratio below 60% (purchase transactions).
We may see days in which mortgage rates spike higher; however, we believe there will be opportunities to lock a mortgage rate at or below these levels throughout December.
Mortgage Rate And Payment Chart
Here is a quick reference guide to December 2024 mortgage rate possibilities in California (these are not quotes, just examples) and the payments associated with each level based on various conforming loan amounts. See our important disclosure below.
30-Year Fixed-Rate Mortgage
| Term | Loan Amount | Mortgage Rate | Payment |
| 30-year fixed | $280,000 | 6.50% | $1,769.79 |
| 30-year fixed | $380,000 | 6.50% | $2,401.86 |
| 30-year fixed | $480,000 | 6.50% | $3,033.93 |
| 30-year fixed | $580,000 | 6.50% | $3,665.99 |
Important disclosure: The above is not a mortgage rate quote nor an offer to lend. It’s only a generic example of various mortgage rates, loan amounts, and payments. Our mortgage rate chart is meant to educate and inform our readers. The current mortgage rate market may be higher or lower than the examples listed in these mortgage rate charts. Also, mortgage rates can and often do adjust multiple times a day.
K.O. Home Loan Solution’s Mortgage Calculator
Using a mortgage calculator to determine your monthly payment is essential to buying a home in California or refinancing a current mortgage. Our free mortgage calculator can help you determine what you can afford.
With our online mortgage calculator, you can also factor in your property tax and annual homeowner’s insurance into your monthly mortgage payment (as well as your HOA dues, if applicable).
Our California mortgage calculator is free and easy to use.
Our mortgage calculator is especially helpful for those wanting to include their property taxes and insurance in their monthly mortgage payment. If you have any questions about our California mortgage calculator, please don’t hesitate to ask.
Economic Calendar For December 2024
Here, we cover the daily economic events that might impact December 2024 mortgage rates. After the report comes out, we’ll update the post with that information and comment on whether there is a potential impact on the Mortgage-Backed Securities market and consumer mortgage rates.
To start things off, we have the following report:
- ISM Manufacturing report
- ADP Employment
- ISM Non-Manufacturing PMI
- BLS Employment report
Wednesday – December 18th
- MBA Purchase Index: The MBA Purchase Index came in at 157.1.
- MBA Refinance Index: The MBA Refinance Index came in at 617.5.
Thursday – December 12th
- Unemployment Claims: Weekly unemployment claims came in at 242,000, and continued claims came in at 1,886,000.
- Core Producer Prices: The Core Producer Prices rose 0.2% (m/m) and 3.4% (y/y).
Wednesday – December 11th
- Core CPI: Core CPI came in as expected (m/m 0.3% and y/y 3.3%).
- MBA Purchase Index: The MBA Purchase Index came in at 154.9.
- MBA Refinance Index: The MBA Refinance Index came in at 634.
Friday – December 6th
- Monthly Jobs Report: The montly jobs report (from BLS) came in at 227,000 jobs created, average earnings increased 0.4% and the unemployment rate was 4.2%. December 2024 mortgage rates remained stable post report.
Thursday – December 5th
- Unemployment Claims: The Unemployment Claims report came in at 224,000 and the continued claims report came in at 1,871,000.
Wednesday – December 4th
- MBA Purchase Index: The MBA Purchase Index came in at 161.5
- MBA Refinance Index: The MBA Refinance Index came in at 498.5.
Tuesday – December 3rd
- JOLTS: The monthly job openings report came in at 7,744,000 and JOLTs Quits came in at 3,326,000.
Monday – December 2nd
- ISM Manufacturing Prices Paid: The market was expecting the report to come in at 55.2 however it came in much lower than the market was expecting (50.3). There was no significant impact to December 2024 mortgage rates.
Mortgage-Backed Securities & Treasury Snapshot
Here are the two-week opening and closing levels of Mortgage-Backed Securities and the 10-year Treasury Yield.
December 1st – December 15th:
Mortgage-Backed Security UMBS 4.5 started trading at the 95.99 level, and the UMBS 5.0 coupon started at the 98.09 level. The 10y Treasury yield was at the 4.195% level.
At the end of the two-week period, Mortgage-Backed Security UMBS 4.5 was at the 94.96 level, and the UMBS 5.0 coupon was nearing the 97.28 level. The 10y Treasury yield was at the 4.39% level.
December 16th – December 31st:
Mortgage-Backed Security UMBS 4.5 started trading at the 95.03 level, and the UMBS 5.0 coupon started at the 97.29 level. The 10y Treasury yield was at the 4.39% level.
At the end of the two-week period, Mortgage-Backed Security UMBS 4.5 was at the (pending) level, and the UMBS 5.0 coupon was nearing the (pending) level. The 10y Treasury yield was at the (pending) level.
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