Mortgage rates fell for the first time in 3 weeks and hit an 8-month low, according to the weekly survey from Freddie Mac.
- The 30-year fixed-rate mortgage averaged 6.60% for the week ending January 18th, down 6 basis points from last week and the lowest level since May 2023.
- The 15-year fixed-rate mortgage averaged 5.76% for the week ending January 18th, down 11 basis points from last week and the lowest level since April 2023.
One Year Ago. The 30-year fixed rate is up 45 basis points and the 15-year is up 48 basis points compared to one year ago.
Analysis. Sam Khater, Freddie Mac’s Chief Economist, notes lower rates will help bring more first-time homebuyers back but until we build more supply will continue to be a problem. “This is an encouraging development for the housing market and in particular first-time homebuyers who are sensitive to changes in housing affordability. However, as purchase demand continues to thaw, it will put more pressure on already depleted inventory for sale.”