Mortgage rates had a roller coaster 2023, but as we close out the year they are almost back to where they started, according to the weekly data from Freddie Mac.
- The 30-year fixed rate mortgage averaged 6.61% for the week ending December 28th, down 6 basis points from last week and the 9th straight weekly drop.
- The 15-year FRM averaged 5.93% for the week ending December 28th, down 2 bips from last week and 7th dip in the last 8 weeks.
Lucky 13. The 30-year fixed started the year at 6.48% on January 5th, 2023, just 13 basis points lower than it ended the year. It fell to a low of 6.09% (2/2) and reached a high of 7.79% (10/26).
Analysis. Sam Khater, Freddie Mac’s Chief Economist, says things are looking up heading into 2024. “Heading into the new year, the economy remains on firm ground with solid growth, a tight labor market, decelerating inflation, and a nascent rebound in the housing market.”
Bottom Line. Mortgage rates are likely to have a much more stable year in 2024 and are likely to continue to their downward trend to start the year.