Us Mortgage Rates Hit 2-Year Low Amid Spring Homebuying Season
The average rate on a 30-year mortgage in the US has fallen for the sixth consecutive week, reaching its lowest level since December, providing a boost to purchasing power for home shoppers as the spring homebuying season gets underway. The latest decline brings mortgage rates to their lowest point since September last year, but still remain above the record low of 2.65% set over four years ago. This modest decrease in mortgage rates is expected to have a positive impact on consumer confidence and purchasing power.
- The steady decline in mortgage rates this year may not be enough to overcome the affordability equation for many prospective home shoppers, particularly first-time buyers who lack equity from an existing home.
- How will policymakers address the mismatch between declining mortgage rates and rising housing prices, which continues to hinder homebuying activity among would-be homeowners?