Just like it’s hard to keep track of the erratic ups and downs of a hummingbird in flight, so it is with the 30 yr mortgage interest rate as it is affected by so many outside forces causing it to swing to and fro; up and down. We do know that there are some steering forces behind each swing that it takes; we just don’t always recognize when it will eventually make its move.
Mortgage rates were flat again in the past week. For the week ending September 2, Freddie Mac announced that 30-year fixed rates remained at 2.87%, the same as the two weeks before. The average for 15-year loans rose one tick to 2.18% and the average for five-year ARMs increased slightly to 2.43%. A year ago, 30-year fixed rates averaged 2.93%, slightly higher than today. Attributed to Sam Khater, Chief Economist, Freddie Mac – “Economic growth and the acceleration in inflation have moderated in the last month, giving the markets comfort and leading to a stabilization in mortgage rates. Heading into the fall, home purchase demand is stable, home sales remain firm and above pre-pandemic levels, and inventory of unsold homes is tight but improving modestly. These factors will allow for home price pressures to ease over the remainder of the year.”
Note: Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.