Mortgage rates tick higher for first time in 9 weeks
Global real estate adviser Jenna Stauffer argues the American dream of home ownership still exists during her appearance on Mornings with Maria.
Mortgage rates' steady downward trend hit a pause this week while demand fell, as data indicates would-be buyers are waiting on the sidelines until they see rates return to the levels of yesteryear.
Freddie Mac's latest Primary Mortgage Market Survey released Thursday showed that the average rate for the benchmark 30-year fixed mortgage nudged up to6.62% this week, a slight increase from 6.61% last week. The popular note averaged 6.48% a year ago.
An «Open House» sign outside a home in Washington, D.C., on Sunday, Nov. 19, 2023. (Nathan Howard/Bloomberg via Getty Images / Getty Images)
At the same time, the rate on the 15-year fixed mortgage edged lower, averaging 5.89% after coming in last week at 5.93%. One year ago, the rate on the 15-year fixed note averaged 5.73%.
«Between late October and mid-December, the 30-year fixed-rate mortgage plummeted more than a percentage point. However, since then rates have moved sideways as the market digests incoming economic data,» said Sam Khater, Freddie Mac’s chief economist.
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«Given the expectation of rate cuts this year from the Federal Reserve, as well as receding inflationary pressures, we expect mortgage rates will continue to drift downward as the year unfolds,» Khater continued. «While lower mortgage rates are welcome news, potential homebuyers are still dealing with the dual challenges of low inventory and high home prices that continue to rise.»
Homes in Rocklin, California, US, on Tuesday, Dec. 6, 2022. The housing market has remained sluggish despite
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