The 30-year fixed-rate loan hangs below 3%
US mortgage rates continue to drop, with the 30-year fixed-rate mortgage (FRM) drifting down to a 2.93% average.
Figures from Freddie Mac’s Primary Mortgage Market Survey showed that the benchmark mortgage rate fell three basis points from a week ago to 2.93%. It was 3.13% a year ago.
Sam Khater, chief economist at Freddie Mac, said that the persistent decline appears to align with the views of financial markets that the recent jump in inflation rates are temporary.
Meanwhile, the average 15-year fixed-rate mortgage inched up one basis point to 2.24%. The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was down from last week’s average of 2.55% to 2.52%.
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“While mortgage rates are low, purchase demand has weakened over the last couple of months, primarily due to affordability constraints stemming from high home prices,” Khater said. “With inventory tight, the slowdown in demand has yet to impact prices, meaning the summer will likely remain a strong seller’s market.”
