In a recent update, Freddie Mac reported a slight decrease in mortgage rates. The Primary Mortgage Market Survey from Freddie Mac, released on Thursday, indicated that the average rate for a 30-year fixed mortgage dipped to 6.81%, down from 6.83% the previous week. In contrast, the average rate for a 30-year loan stood at 7.17% a year ago.
Sam Khater, chief economist at Freddie Mac, highlighted the relative stability of the 30-year fixed-rate mortgage over the past months, noting it fluctuated less than 20 basis points. This steadiness is regarded as beneficial for both buyers and sellers.
Additionally, the average rate for a 15-year fixed mortgage experienced a decline, reaching 5.94% compared to last week’s rate of 6.03%. One year prior, the 15-year fixed mortgage rate averaged 6.44%.
Prior to this announcement, data showed a decline in U.S. existing home sales in March, primarily attributed to increased borrowing costs. The National Association of Realtors revealed that home sales fell by 5.9% to a seasonally adjusted annual rate of 4.02 million units. This decline exceeded economists’ projections, which anticipated a rate of 4.13 million units. On a year-over-year basis, sales saw a 2.4% decrease in March.
The housing market faces additional pressure due to a cloudy economic outlook, partly caused by fluctuating tariff policies under President Donald Trump, which have already impacted imports like lumber. Such economic uncertainties are believed to be exerting further strain on the housing sector.
