The average rate on a mortgage of 30 years in the United States has decreased for the second consecutive week, but remains just below 7%, little relief for potential house buyers in the spring shopping season
The average rate on a mortgage of 30 years in the United States has decreased for the second consecutive week, but remains just below 7%, little relief for potential house buyers in the purchase season of spring household.
The rate fell to 6.95%, compared to 6.96% last week, the mortgage buyer announced Thursday. A year ago, it was on average 6.63%.
Borrowing fees on fixed rate mortgages of 15 years, popular with owners, seeking to refinance their mortgage at a lower rate, were also relaxed this week. The average rate dropped to 6.12% compared to 6.16% last week. A year ago, it was on average 5.94%, said Freddie Mac.
Mortgage rates are influenced by several factors, in particular how the bond market reacts to interest rate decisions of the federal reserve. The average rate on a 30-year mortgage fell briefly at a 2-year hollow just above 6% last September, but increased mainly since then, echoing a sharp increase in the 10-year treasure yield, that lenders use as a guide for domestic loans prices.
The yield, which was 3.62% in mid-September, reached 4.79% two weeks ago in the middle of the fear that inflation can remain obstinately higher than the target target of the Fed . A solid American economy and concerns about the prices and other policies from President Donald Trump also helped to push up yields upwards.
The 10 -year treasure yield was 4.53% in the Midi Trade Thursday.
