Rates Cool For Second Week

Average mortgage rates declined for a second week as inflation moderated in the Fed’s preferred inflation indicator. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 7.02%, down from the week prior’s 7.09%. A year ago at this time, the 30-year FRM averaged 6.39%. The 15-year also fell, down from last week’s 6.38% to 6.28%. A year ago at this time it was 5.75%. “Mortgage rates decreased for the second consecutive week,” said Sam Khater, Freddie Mac’s Chief Economist. “Given the news that inflation eased slightly, the 10-year Treasury yield dipped, leading to lower mortgage rates. The decrease in rates, albeit small, may provide a bit more wiggle room in the budgets of prospective homebuyers.” Even a…

Rates Cool For The First Time In Five Weeks

Average mortgage rates declined for the first time in five weeks following cooling employment, a sign of easing inflation. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 7.09%, down from the week prior’s 7.22%. A year ago at this time, the 30-year FRM averaged 6.35%. This is the first reversal after a multi-week upward streak that sent rates to their highest point since November 2023. Those weeks of increases pushed the median monthly housing payment to a new record high of $2,894 during the four weeks ending May 5, up 14% YOY. Recent government data found that the U.S. economy added 175,000 in April, below expectations of 240,000, while unemployment increased to 3.9%. This was good…

Rates Up For Fifth Week Straight

Average mortgage rates increased for a fifth consecutive week just as spring buying season entered its peak months. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 7.22%, up from the week prior’s 7.17%. A year ago at this time, the 30-year FRM averaged 6.39%. The 15-year fixed rate increased from 6.44% to 6.47%. A year ago, it averaged 5.76%.  “On average, more than one-third of home sales for the entire year occur between March and June. With two months left of this historically busy period, potential homebuyers will likely not see relief from rising rates anytime soon,” said Sam Khater, Freddie Mac’s Chief Economist. Home sellers enjoy the biggest premiums in May as buyers take advantage…

Rates Shoot Up To 7.17%

Average mortgage rates increased again last week, worsening affordability and setting the market up for a slump as the spring buying season progresses. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 7.17%, jumping from the week prior’s 7.1%. A year ago at this time, the 30-year FRM averaged 6.43%. The 15-year fixed rate increased from 6.39% to 6.44%. A year ago, it averaged 5.71%.  “Despite rates increasing more than half a percent since the first week of the year, purchase demand remains steady. With rates staying higher for longer, many homebuyers are adjusting, as evidenced by this week’s report that sales of newly built homes saw the biggest increase since December 2022,” said Sam Khater, Freddie…

Rates Top 7% For The First Time In 2024

Average mortgage rates surpassed 7% for the first time in 2024 last week. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 7.1%, jumping from the week prior’s 6.88%. A year ago at this time, the 30-year FRM averaged 6.39%. The daily rate shot up to 7.5% in the middle of this week. The 15-year fixed rate increased from 6.16% to 6.39%. A year ago, it averaged 5.76%.  “As rates trend higher, potential homebuyers are deciding whether to buy before rates rise even more or hold off in hopes of decreases later in the year. Last week, purchase applications rose modestly, but it remains unclear how many homebuyers can withstand increasing rates in the future,” said Sam…

Rates March Toward 7% On Sticky Inflation Data

Mortgage rates are marching towards 7% again as inflationary pressures threaten their stability. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.88%, up from the week prior’s 6.82%. A year ago at this time, the 30-year FRM averaged 6.27%. The 15-year fixed rate increased from 6.06% to 6.16%. A year ago, it averaged 5.54%.  Rates have primarily stuck between 6.5% and sub-7% as they moved up in the first quarter. Freddie Mac Chief Economist Sam Khater noted that rates moved up as inflation stayed sticky and the Central Bank’s monetary policy shifted. “While newly released inflation data from March continues to show a trend of very little movement, the financial market’s reaction paints a far different…

Mortgage Rates Move Up Just Barely

Mortgage rates were basically stagnant last week, staying put in the upper-6% range yet again. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.82%, up just slightly from the week prior’s 6.79%. A year ago at this time, the 30-year FRM averaged 6.28%. The 15-year fixed rate also fell from 6.11% to 6.06%. A year ago, it averaged 5.64%.  This week’s data reinforces that rates have stabilized in the 6%’s for the moment. “Since the start of 2024, the 30-year fixed-rate mortgage has not reached 7% but has not dropped below 6.6% either,” said Sam Khater, Freddie Mac’s Chief Economist. “While incoming economic signals indicate lower rates of inflation, we do not expect rates will decrease…

Rates Move Down Slightly

Mortgage rates fell last week but remained in the high-6% range. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.79%, down from the week prior’s 6.87%. A year ago at this time, the 30-year FRM averaged 6.32%. The 15-year fixed rate also dropped from 6.21% to 6.11%. A year ago, it averaged 5.56%.  “Mortgage rates moved slightly lower this week, providing a bit more room in the budgets of some prospective homebuyers,” said Sam Khater, Freddie Mac’s Chief Economist.  “We also are seeing encouraging data on existing home sales, which reflects improving inventory. Regardless, rates remain elevated near 7% as markets watch for signs of cooling inflation, hoping that rates will come down further.” Both existing…

Former Fannie Mae Exec Named CEO Of Meridian Capital

Commercial real estate juggernaut Meridian Capital Group named former regulator Brian Brooks as its Chairman and CEO. Brooks takes the reigns from co-founder Ralph Herzka, who will remain with the company as Senior Chairman. The change-over will take place in April. Herzka helped found Meridian in 1991 and steered it to the forefront of commercial mortgage origination. “As we look to institutionalize Meridian as a world-class company and further diversify our revenues, there is no better steward of our future than Brian. He is an outstanding and recognized leader in financial services, and I am excited to work with him to build on our firm’s foundation of unparalleled experience and market intelligence,” Herzka said in a press release. Brooks is…

Rates Back Up To Near 7%

Rates took a turn for the worse last week, rising back to nearly 7%, as economic data soured analysts’ moods on easing rates. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.87%, up from the week prior’s 6.74%. A year ago at this time, the 30-year FRM averaged 6.42%. This breaks a two-week streak of declines. Mortgage applications slipped this week as rate-sensitive Americans backed away from the market.  The 15-year fixed rate also rose from 6.16% to 6.21%. A year ago, it averaged 5.68%. The Central Bank outlined cuts to come in 2024 but held the benchmark rate steady during their March meeting. Inflation has eased over the past year but committee members do not…