The large gap between rates now and then is contributing to the low inventory of homes for sale by discouraging homeowners who locked in rock-bottom rates two years ago from selling. Still, the average rate on a 30-year home loan remains sharply higher than just two years ago, when it was 3.12%. Mortgage applications notched their sixth consecutive weekly increase last week, according to the Mortgage Bankers Association. The recent downward shift in mortgage rates is a welcome development for homebuyers. homes, which are down 20.2% through the first 10 months of this year. That’s weighed on sales of previously occupied U.S. The average rate on a 30-year mortgage dropped to 6.95 from 7.03 last week, mortgage buyer Freddie Mac said Thursday. The sharp runup in mortgage rates that began early last year has pushed up borrowing costs on home loans, reducing how much would-be homebuyers can afford even as home prices have kept climbing due to a stubbornly low supply of properties on the market. “Given inflation continues to decelerate and the Federal Reserve Board’s current expectations that they will lower the federal funds target rate next year, we likely will see a gradual thawing of the housing market in the new year,” said Sam Khater, Freddie Mac’s chief economist. Related: 35% of Americans want a housing crash, poll says Find your dream home in Benchmark, Atlanta, GA Browse through a variety of homes for sale in Benchmark, Atlanta, GA and choose the perfect one for you. Treasurys and what the Fed does with its benchmark federal funds rate can influence rates on home loans. Investors’ expectations for future inflation, global demand for U.S. Those hopes strengthened Wednesday after the Fed held its main interest rate steady for the third straight time, and its officials signaled that they expect to begin cutting rates beginning as early as next summer. Search local homes for sale in greater Nashville TN with local real estate company Benchmark Realty.
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |