Mortgage charges fall once more with largest weekly decline since mid-September

Redfin CEO Glenn Kelman unpacks the state of the housing market on ‘Barron’s Roundtable.’

Mortgage charges fell for a seventh consecutive week to the bottom stage since December, mortgage purchaser Freddie Mac stated Thursday.

Freddie Mac’s newest Main Mortgage Market Survey, launched Thursday, confirmed that the common price on the benchmark 30-year fastened mortgage decreased to six.63% from final week’s studying of 6.76%. The common price on a 30-year mortgage was 6.88% a 12 months in the past.

The 30-year mortgage noticed the most important weekly decline since mid-September, stated Sam Khater, Freddie Mac’s chief economist.

A “for sale” signal at a home in Philadelphia Aug. 16, 2024.  (Joe Lamberti/Bloomberg through Getty Photos / Getty Photos)

MORTGAGE RATES FALL TO LOWEST LEVEL IN OVER 2 MONTHS

“The decline in rates increases prospective homebuyers’ purchasing power and should provide a strong incentive to make a move,” Khater stated. “Additionally, this decline in rates is already providing some existing homeowners the opportunity to refinance. In fact, the refinance share of market mortgage applications released this week reached nearly 44%, the highest since mid-December.”

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The common price on the 15-year fastened mortgage fell to five.79% from 5.94% final week. One 12 months in the past, the speed on the 15-year fastened observe averaged 6.22%.