US mortgage rates have fallen for the second consecutive week, offering some relief to prospective homebuyers. According to Freddie Mac, the average rate on a 30-year fixed-rate mortgage decreased to 6.19% this week, down from 6.23% the previous week. This marks the lowest level since late October and is significantly lower than the 6.69% average rate recorded a year ago.
The recent decline follows three weeks of increasing rates, providing a welcome reprieve for those looking to enter the housing market. The current rate is now just slightly above the yearly low of 6.17% recorded on October 30, signalling a potential easing of borrowing costs for potential homeowners.
Rates on 15-year fixed-rate mortgages, often favoured by homeowners refinancing their loans, also experienced a decrease. The average rate for a 15-year mortgage fell to 5.44%, a drop from 5.51% the week prior. This is also considerably lower than the 5.96% average rate from a year ago, potentially incentivising more homeowners to refinance.
