The average rate on a 30-year US mortgage has declined for the third consecutive week, easing concerns for prospective homebuyers entering the spring market. According to Freddie Mac, the average rate fell from 6.95% last week to 6.89%, marking a significant decrease from its 2023 peak of 7.08%. A year ago, it averaged 6.64%.
The decline in mortgage rates is partly due to the Federal Reserve’s interest rate policy decisions and the reaction of the bond market. However, experts warn that further declines are unlikely, with forecasts predicting the average rate on a 30-year mortgage to remain above 6% this year.
The latest data from Freddie Mac also showed borrowing costs on 15-year fixed-rate mortgages decreased to 6.05%, down from 6.12% last week. A year ago, it averaged 5.9%.
Source: https://abcnews.go.com/Business/wireStory/average-us-rate-30-year-mortgage-falls-689-118534751