Double Delight: Mortgage Rates Drop as New Housing Construction Surges
Breaking! The mortgage rates for 30-year fixed mortgages have gone down for the third week in a row. According to Freddie Mac, the average rate is now 6.67% as of June 22, a slight decrease of 2 basis points from last week's average of 6.69%.
A 15-year fixed-rate mortgage is now 6.03%, down from 6.1% last week.
Aside from mortgage rates, low inventory has also been a challenge, as fewer existing homes are available for sale. However, there's good news on that front, too --there's been an increase in single-family housing construction recently.
It's worth mentioning that the current housing market is experiencing a "return to normalcy" after an abnormal set of years where government-mandated quarantines, remote work, and extensive fiscal and monetary support influenced the market.
Therefore, comparing the current market to those years may not provide an accurate picture. However, returning to historical trends is a positive step forward.