30-Year Fixed National Average Rates, as of April 6th - Per Freddie Mac
Conventional 6.18%
FHA 5.78%
VA 5.87%
Jumbo 5.95%
According to data released by Freddie Mac on April 6th, homebuyers enjoyed another week of declining mortgage rates, with the average rate dropping for the fourth consecutive week. "As we enter the traditional spring homebuying season, mortgage rates are continuing to decrease," said Sam Khater, Freddie Mac's chief economist. However, there are numerous challenges faced by those seeking to buy a home, including low inventory levels, particularly for first-time homebuyers.
Rates had started to decline in early 2023 after reaching a high of 7.08% in November 2022. Nonetheless, they started to rise again in February, following indications that the Fed still had work to do in cooling the US economy and was likely to increase its benchmark lending rate once again.
"This week's rate decline is an opportunity for potential buyers to enter the market while rates are slightly lower. Pent-up demand for housing is apparent with every improvement in affordability, whether it's softer prices or lower mortgage rates," stated Hannah Jones, economic research analyst at Realtor.com, adding that home prices are displaying signs of softening, which is good news for buyers.
