Mortgage rates were more or less flat this week, with the average rate for a 30-year fixed-rate mortgage at 6.64%, up slightly from 6.63% 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 6.12%.
“Mortgage rates remain stagnant, hovering in the mid-six percent range over the past several weeks,” says Sam Khater, chief economist for Freddie Mac, in a statement. “The economy and labor market remain strong with wage growth outpacing inflation, which is keeping consumer spending robust. Meanwhile, affordability in the housing market is an ongoing issue due to continued high home prices, elevated mortgage rates and low supply of homes on the market, particularly for first-time and low-income homebuyers.”
The average rate for a 15-year, fixed-rate mortgage was 5.90%, down from last week when it averaged 5.94%.
A year ago at this time, the average rate for a 15-year was 5.25%.
Selma Hepp, chief economist for CoreLogic, says the improvement in consumer sentiment toward rates should help boost the spring homebuying season.
“The U.S. economy continues to show signs of strength, so therefore, rates are likely to remain stable through the spring homebuying season, with cuts not expected until the beginning of summer,” Hepp says in a separate statement. “However, in recent industry surveys, homebuyers are beginning to feel optimistic about where rates are heading and more and more homebuyers are anticipating rates to decline through the year.”
Photo: David Kristianto