Sign In  |  Register  |  About Menlo Park  |  Contact Us

Menlo Park, CA
September 01, 2020 1:28pm
7-Day Forecast | Traffic
  • Search Hotels in Menlo Park

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Real estate reprieve continues as mortgage rates keep falling

Potential homebuyers received some positive news from Freddie Mac's weekly interest rate report, as mortgage rates continued their decline for the second week.

Mortgage rates fell for a second week, according to weekly data compiled by Freddie Mac.

The 30-year fixed-rate mortgage (FRM) averaged 6.42% as of Mar. 16, down from 6.6% recorded last week. One year ago, the 30-year FRM averaged 4.42%.

Meanwhile, the 15-year fixed-rate mortgage averaged 5.68%, down from last week when it averaged 5.90%. At the same time in 2022, the 15-year FRM averaged 3.63%.

"Mortgage rates continued to slide down as financial market concerns came to the fore over the last two weeks," said Sam Khater, Freddie Mac’s Chief Economist. 

US HOUSING COST TAKE RARE DIP AND BUYERS ARE TAKING ADVANTAGE

Khater continued that, "on the homebuyer front, the news is more positive with improved purchase demand and stabilizing home prices. If mortgage rates continue to slide over the next few weeks, look for a continued rebound during the first weeks of the spring homebuying season."

Wednesday's dual announcement by the Federal Reserve that it will raise interest rates 25 more basis points, while hinting that it may be done with rate hikes, has taken pressure off of mortgage rates.

DOWN PAYMENTS FELL TO LOWEST LEVEL IN TWO YEARS: HERE'S WHY

The real estate market, and mortgage rates in general are very dependent on the base borrowing rate set by the Fed, because banks must lend at higher rates than they borrow to make any money.

Homebuying is expected to recover as less as cheaper mortgage rates could save homeowners hundreds or even thousands of dollars per year.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 MenloPark.com & California Media Partners, LLC. All rights reserved.