Washington, DC CNN —Mortgage rates tumbled this week in the biggest one-week drop since last November.
“Many consumers are feeling strained by the high cost of living, so unless mortgage rates decrease significantly, the housing market will remain stagnant.”The average mortgage rate is based on mortgage applications that Freddie Mac receives from thousands of lenders across the country.
When Treasury yields go up, so do mortgage rates; when they go down, mortgage rates tend to follow.
But while mortgage rates remain relatively high, the difference between rates now and what they were a year ago has narrowed, said Lisa Sturtevant, chief economist at Bright Multiple Listing Service.
“We are in a new era for mortgage rates, where prospective homebuyers can expect rates to settle above 6%,” said Sturtevant.
Persons:
It’s, Freddie Mac, ”, Sam Khater, Freddie Mac’s, Joel Kan, Jiayi Xu, Xu, Realtor.com, Lisa Sturtevant, Sturtevant
Organizations:
DC CNN —, “, Treasury, Mortgage, Association
Locations:
Washington