The 30-year fixed-rate mortgage dipped again for the third-straight week, averaging 6.87%, down from last week’s average of 6.95%, according to the latest Primary Mortgage Market Survey® (PMMS®) from Freddie Mac, released Thursday.
This week’s numbers:
- The 30-year FRM averaged 6.87% as of June 20, 2024, down from last week when it averaged 6.95%. A year ago at this time, the 30-year FRM averaged 6.67%.
- The 15-year FRM averaged 6.13%, down from last week when it averaged 6.17%. A year ago at this time, the 15-year FRM averaged 6.03%.
What the experts are saying:
“Mortgage rates fell for the third straight week following signs of cooling inflation and market expectations of a future Fed rate cut,” said Sam Khater, Freddie Mac’s chief economist. “These lower mortgage rates coupled with the gradually improving housing supply bodes well for the housing market. Aspiring homeowners should remember it’s important to shop around for the best mortgage rate as they can vary widely between lenders.”
Realtor.com Economist, Jiayi Xu commented: “In the updated economic projections from the June FOMC meeting, the anticipated rate cuts by the end of 2024 have been scaled back from three to one, and to implement this single rate cut, significant progress is still needed before the Fed feels confident enough, as indicated by the strong May job growth and stubborn CPI data. In the meantime, today’s homebuyers will continue to encounter relatively high borrowing costs, despite the potential benefits of lower inflation and mortgage rates. With the long-run Fed Funds rate projection also rising slightly, it’s important to recognize that mortgage rates are likely to remain well above the 3.5% to 5% range that prevailed in the decade before the pandemic.”
