Homebuyers Rejoice: Mortgage Rates Remain Low Despite Minor Uptick
Despite a slight increase, homebuyers continue to reap the benefits of low mortgage rates.
The latest Primary Mortgage Market Survey® (PMMS®) released by Freddie Mac last Thursday shows that the nation’s home buyers are still enjoying historic lows in mortgage rates, with only a minor uptick in the average 30-year fixed-rate mortgage. The average rate for a 30-year FRM was 6.30%, a slight increase of 4 basis points from the previous week’s average of 6.26%.
The steady low rates have been a boon for home buyers, making it an ideal time to purchase a home. As stated by Freddie Mac, "mortgage rates remained at 11-month lows this week, keeping borrowing costs low for home buyers." This is great news for those in the market for a new home, as lower mortgage rates can mean significant savings over the lifetime of a loan.
Despite the minor uptick, the current rates are still significantly lower than they were at this time last year, when the average 30-year FRM was 6.86%. This is a reflection of the current state of the housing market, which has seen a steady rise in home prices but a slight decrease in demand. As a result, interest rates have remained low to entice potential