Facts: The average 30-year fixed mortgage rate from Freddie Mac decreased to 6.81%, down from 6.84% last week. At this rate, with a 20% down payment, the monthly mortgage payment is $2,088 for a home priced at $400,000. With a 10% down payment, the typical payment would be $2,349.
Positive: For 22 consecutive weeks, buyers could finance a mortgage in the mid-6% range. Stability is beneficial for buyers actively searching for a home. Additionally, buyers are seeing more inventory and greater room for negotiation in some markets.
Negative: Despite the stable mortgage market and increased inventory, mortgage applications declined. Home builder sentiment also dropped to a 13-year low, and housing starts contracted. The lack of building, challenges in housing affordability, and uncertainty have weighed heavily on the housing market.
