Founder and CEO Vishal Garg joins ‘Mornings with Maria’ to discuss his company’s efforts and how they leverage AI to help homebuyers expedite the mortgage process.
mortgage rates Mortgage buyer Freddie Mac said Thursday it declined for the second straight week.
Freddie Mac’s latest primary mortgage market survey released Thursday showed average rates on the benchmark 30-year fixed mortgage The reading dropped to 6.27% from 6.3% last week.
A year ago the average rate on a 30-year loan was 6.44%.
Freddie Mac said Thursday that mortgage rates fell for the second consecutive week. (Lauren Elliott/Bloomberg via Getty Images/Getty Images)
“The important thing is that homeowners have taken notice of these persistently low rates, which has led to a pickup in refinance activity,” said Sam Khater, chief economist at Freddie Mac. “Combined with increased housing inventory and slower home price growth, these rates are creating a more favorable environment for those looking to buy a home.”
Nearly 1 in 5 American homes saw price cuts as buyers gained an edge in the shifting market
average rate on 15-year fixed mortgage The reading fell to 5.52% from 5.53% last week.
A year ago, the rate on a 15-year fixed note averaged 5.63%.
The average rate on a 15-year fixed mortgage fell to 5.52%. (Joe Lamberti/Bloomberg via Getty Images/Getty Images)
According to Jiayi Xu, senior economist at Realtor.com, concerns over the labor market and uncertainty about the ongoing federal government shutdown are putting pressure on potential home buyers.
“Across the country, purchasing power has declined sharply as home prices and mortgage rates continue to outpace income growth,” Xu said. “As a result, substantial wage growth and improved financial stability will be needed to boost buying sentiment.
Concerns over the labor market and uncertainty around the ongoing federal government shutdown are putting pressure on potential home buyers. (Eliza Novellaz/Bloomberg via Getty Images/Getty Images)
“However, widespread uncertainty from the ongoing government shutdown could further weigh on sentiment – especially in markets with a high share of federal workers and contractors, who are facing financial stress and concerns over potential layoffs,” he said.
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While low mortgage rates have drawn home buyers back into the market, many are still hesitant due to economic uncertainty and the affordability crisis prevailing in the US.