Mortgage Rates Drop More Significantly Today
Fixed rates are down, and the 30-year rate has decreased for the sixth straight week, according to Freddie Mac. The average 30-year fixed mortgage rate has fallen by nine basis points to 6.76%, while the 15-year fixed rate has dropped by 10 basis points to 5.94%. There's no guarantee that interest rates will keep decreasing, now could be a good time to shop for mortgage lenders and apply for prequalification or preapproval with a few to find the best deal. With these drops, homebuyers are taking advantage of lower mortgage rates.
- The significant decline in mortgage rates may prompt homeowners to consider refinancing their existing mortgages, potentially leading to an increase in refinancing activity and further shifting the mortgage market.
- Will this temporary drop in interest rates be enough to offset the potential long-term effects of inflation on housing affordability, or will it simply delay the inevitable adjustments needed by homebuyers?