For the fourth time in five weeks, mortgage rates have settled, with the average 30-year, fixed mortgage at 4.55 percent, a decline from 4.57 percent the prior week, according to Freddie Mac’s Primary Mortgage Market Survey® (PMMS®).
The average 15-year, fixed mortgage was at a 4.04 percent rate, flat from the prior week, but the average five-year, Treasury-indexed hybrid adjustable mortgage was at a 3.87 percent rate, up from 3.83 percent the prior week.
“The decrease in borrowing costs are a nice slice of relief for prospective buyers looking to get into the market this summer,” says Sam Khater, chief economist at Freddie Mac. “Some are undoubtedly feeling the affordability hit from swift price appreciation and mortgage rates that are still 67 basis points higher than this week a year ago.
“The economy and housing market overall are on solid footing this summer, which should support continued strength in housing demand,” Khater says. “Home price growth is still high, but is expected to moderate, and while sales activity has slowed, it’s primarily because of stubbornly low supply.”