Mortgage rates fell significantly this week, with the average rate for a 30-year fixed-rate mortgage dropping to 6.78%, down from 6.96% last week, according to Freddie Mac’s Primary Mortgage Market Survey.
A year ago at this time, the average rate for a 30-year was 5.54%.
“As inflation slows, mortgage rates decreased this week,” says Sam Khater, chief economist for Freddie Mac, in a statement. “Still, the ongoing shortage of previously owned homes for sale has been a detriment to homebuyers looking to take advantage of declining rates. On the other hand, homebuilders have an edge in today’s market, and incoming data shows that homebuilder sentiment continues to rise.”
The average rate for a 15-year fixed-rate mortgage averaged 6.06%, down from last week, when it averaged 6.3%.
A year ago at this time, the 15-year averaged 4.75%.
Photo: Alison Pang