Rate Reductions
The average rate on a 30-year U.S. mortgage fell to 6.81%, marking the third consecutive week of decline, providing a glimmer of hope for prospective homebuyers.
Similarly, the rate for 15-year fixed-rate mortgages dropped to 5.96%, continuing the trend of easing borrowing costs for homeowners looking to refinance.
Market Impacts and Outlook
Despite the slight reduction in mortgage rates, the U.S. housing market remains sluggish, with sales of previously occupied homes and new constructions experiencing slowdowns.
Economists predict mortgage rates will stabilize between 6% and 7% this year, as elevated borrowing costs continue to influence homebuyer purchasing power and builder sentiment.