Average long-term US mortgage rate slips to 6.39% this week
The average long-term U.S. mortgage rate edged lower this week, a modest boost for homebuyers looking for relief as a stubbornly low inventory of properties for sale fuels bidding wars in many markets
LOS ANGELES (AP) — The average long-term U.S. mortgage rate edged lower this week, a modest boost for homebuyers looking for relief as a stubbornly low inventory of properties for sale fuels bidding wars in many markets.
The average rate on the benchmark 30-year fixed-rate home loan fell to 6.39% from 6.43% last week, mortgage buyer Freddie Mac said Thursday. A year ago, it averaged 5.27%. The average rate fell for five straight weeks before rising the last two weeks of April.
This week's drop in mortgage rates is welcome news for prospective homebuyers, many of whom have been pushed to the sidelines during the past year as the Federal Reserve cranked up its main borrowing rate in a bid to tamp down persistent, four-decade high inflation.
All told, the Fed has raised its benchmark rate 10 times since March 2022, including an increase this week that pushed it to 5.1%, the highest since 2007, from virtually zero early last year.
