housing:-mortgages-register-another-drop-and-more-declines-are-expectedHousing: Mortgages register another drop and more declines are expected
Avatar of Jorge Antonio Vázquez Buendía

By Jorge Antonio Vázquez Buendía

01 Feb 2024, 17:00 PM EST

Freddie Mac released the results of its Primary Mortgage Market Survey (PMMS), showing that the 30-year fixed-rate mortgage (FRM) averaged 6.63 percent.

“While affordability continues to impact homeownership, the combination of a strong economy, strong demographics and lower mortgage rates are setting the stage for a stronger housing market,” said Sam Khater, chief economist at Freddie Mac.

Khater explained: “Mortgage rates have remained stable for almost two months, but with inflation continuing to slow we expect rates to fall further. “The economy continues to perform well thanks to strong job and income growth, while household formation is increasing at rates above pre-pandemic levels.”

For Freddie Mac, these tailwinds should provide strong fundamental support to the market in the coming months.

This is how mortgage rates remained

Image Freddie Mac.

30 year mortgage

The 30-year FRM averaged 6.63 percent as of February 1, 2024, up from last week when it averaged 6.69 percent. A year ago at this time, the 30-year FRM averaged 6.09 percent.

15 year mortgage

The 15-year MRF averaged 5.94 percent, down from last week when it averaged 5.96 percent. A year ago at this point, the 15-year FRM averaged 5.14 percent.

PMMS focuses on conventional, conforming, fully amortizing home loans for borrowers who make a 20 percent down payment and have excellent credit.

Keep reading:
· Real estate market myths that affect buyers and sellers in the US today.
· Mortgage rates resist falling, rising slowly, but remain in the mid-range of 6 percent
· Places homebuyers are moving to in the US.

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