Powell was referring to the current situation in which homeowners holding historically low rate mortgages aren’t feeling incentivized to sell their homes, reducing the number of properties available in the market. A Federal Housing Finance Agency research paper published in March 2024 shows that nearly all 50 million active mortgages have fixed rates, and most [...]read moreWhen will the Fed’s moves alleviate the lock-in effect?
As expected by virtually all market participants, the Federal Reserve maintained its short-term policy interest rate between 5.25% and 5.5% at its June meeting that concluded Wednesday afternoon. That’s the seventh consecutive time policymakers with the Federal Open Markets Committee (FOMC) kept the rates unchanged, reflecting mixed signals from the leading U.S. economic data. Job [...]read moreFed holds rates steady amid mixed economic signals
Mortgage rates kept sliding toward 7% as HousingWire’s Mortgage Rates Center showed the average 30-year fixed rate for conforming loans at 7.25% on Tuesday, below the rate of 7.34% one week ago. At the same time one year ago, the average 30-year conforming rate was 6.8%. Meanwhile, the 15-year conforming fixed rate averaged 6.77% on [...]read moreMortgage rates trend down as the labor market loosens
As the U.S. reaches its peak homebuying season, mortgage rates continue to ease week over week. HousingWire’s Mortgage Rates Center showed the average 30-year fixed rate for conforming loans at 7.45% on Tuesday, below the rate of 7.51% one week ago. At the same time one year ago, the average rate was 6.54%. The 15-year [...]read moreMortgage rates continue to trend down ahead of inflation report
All in all, you can see how effectively 7% mortgage rates have slowed the housing market. Rates, however, may be inching lower as the yield on the 10-year Treasury moves lower and the spread between the 10-year and 30-year mortgage rate compresses a bit. If rates move into the 6s soon, expect a small uptick [...]read morePeak homebuying season is clouded by mixed signals
Mortgage rates eased slightly last week after a cooler-than-expected jobs report. Additionally, the 10-year Treasury yield fell after Friday’s jobs report. HousingWire’s Mortgage Rates Center showed the average 30-year fixed rate for conventional loans at 7.51% on Tuesday, slightly below the rate of 7.57% one week ago. At the same time one year ago, the [...]read moreMortgage rates ease as the labor market cools
U.S. home prices continued to climb in March as a persistent shortage of homes for sale helped to buoy the housing market, according to the Intercontinental Exchange (ICE) Home Price Index. And while prospective homebuyers cope with the challenges of rising housing unaffordability, existing homeowners are reaping the benefits of historically strong price gains. Nationwide [...]read moreU.S. mortgage holders post record levels of home equity: ICE
The Federal Reserve’s Federal Open Markets Committee (FOMC) maintained its short-term policy interest rate steady at a range of 5.25% to 5.5% for a sixth consecutive meeting on Wednesday. “The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward [...]read moreFed holds rates steady for the sixth straight time
Mortgage demand dipped last week as mortgage rates reached their highest levels since November 2023. Applications decreased by 2.3% on a seasonally adjusted basis during the week ending April 26, according to the Mortgage Bankers Association’s (MBA) weekly mortgage applications survey. “Inflation remains stubbornly high, and this trend is convincing markets that rates, including mortgage [...]read moreMortgage demand continues to fall as rates soar
The median monthly housing payment for U.S. homebuyers rose to a record $2,775 during the four-week period ending April 14, up 11% year over year, according to a Redfin report. The recent hotter-than-expected inflation reading sent mortgage rates upward. On Thursday, HousingWire’s Mortgage Rates Center showed the average 30-year fixed rate for conventional loans at 7.31%, up [...]read moreElevated mortgage rates, home prices harm affordability: Redfin