Summary
The average rate for a 30-year U.S. mortgage has dropped to 6.19%, the lowest in over a year, providing a boost to home sales. The decline follows a trend influenced by Federal Reserve interest rate policies and market expectations. Mortgage applications have increased slightly, with many homeowners opting to refinance.
Key Facts
- The 30-year average mortgage rate is now 6.19%, down from 6.27% last week.
- The 15-year fixed mortgage rate dropped to 5.44% from 5.52% last week.
- Mortgage rates are affected by the Federal Reserve's interest rate decisions and the 10-year Treasury yield.
- Home sales have been slow but recently increased as rates fell.
- The Federal Reserve plans additional rate cuts, which may reduce mortgage rates further.
- Mortgage applications slightly decreased by 0.3% last week, but refinancing applications grew.
- Rates for adjustable-rate mortgages, which start with lower interest, are gaining popularity.
