The 30-year fixed-rate mortgage averaged 6.77% for the week of June 20, a slight decrease from the prior week’s mark of 6.81%, according to Freddie Mac’s rate survey. But the dip below 6.8% may have a positive psychological effect on homebuyer attitudes, as it marks the first time the 30-year rate has cleared that hurdle since the week ending May 8.
The 15-year rate, meanwhile, fell seven basis points this week to 5.89%.
“Borrowers should find comfort in the stability of mortgage rates, which have only fluctuated within a narrow 15-basis-point range since mid-April,” noted Sam Khater, Freddie Mac’s chief economist, in a press release. “Although recent data show that home sales remain low, the resulting available inventory provides homebuyers with a wider range of options to consider when entering the market.”
Sales of new single-family homes nosedived 13.7% month over month in May, according to a report released Wednesday by the U.S. Census Bureau and Department of Housing and Urban Development.
On a more optimistic note, the National Association of Realtors (NAR) reported Thursday that pending home sales rose 1.8% in May versus the prior month, with the association noting that “consistent job gains and rising wages are modestly helping the housing market.”
The NAR report includes sales of both new and existing homes and is based on a sample that covers about 40% of multiple listing service data each month.
