Mortgage Rates Continue to Move Down

Rhea-AI Summary

Freddie Mac (OTCQB: FMCC) announced their Primary Mortgage Market Survey® results, revealing that the 30-year fixed-rate mortgage (FRM) averaged 6.95% as of June 13, 2024, down slightly from 6.99% the previous week. The 15-year FRM also saw a decrease, averaging 6.17%. Chief Economist Sam Khater attributes the fall in mortgage rates to signs of a cooling economy, although shelter inflation increased, indicating ongoing housing affordability challenges.

Positive

• 30-year FRM decreased to 6.95%, indicating a drop in mortgage rates.
• 15-year FRM fell to 6.17%, showing a similar trend.
• The economy is cooling to a more sustainable level of growth.
• Freddie Mac has been promoting liquidity, stability, affordability, and equity in the housing market since 1970.

Negative

• Shelter inflation increased, indicating higher rent and homeownership costs.
• Housing affordability continues to be an impediment for buyers.

MCLEAN, Va., June 13, 2024 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey^® (PMMS^®), showing the 30-year fixed-rate mortgage (FRM) averaged 6.95 percent.

“Mortgage rates continued to fall back this week as incoming data suggests the economy is cooling to a more sustainable level of growth,” said Sam Khater, Freddie Mac’s Chief Economist. “Top-line inflation numbers were flat but shelter inflation, which measures rent and homeownership costs, increased showing that housing affordability continues to be an ongoing impediment for buyers on the house hunt.”

News Facts

• The 30-year FRM averaged 6.95 percent as of June 13, 2024, down from last week when it averaged 6.99 percent. A year ago at this time, the 30-year FRM averaged 6.69 percent.
• The 15-year FRM averaged 6.17 percent, down from last week when it averaged 6.29 percent. A year ago at this time, the 15-year FRM averaged 6.10 percent.

The PMMS^® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. For more information, view our Frequently Asked Questions.

Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | Twitter | LinkedIn | Facebook | Instagram | YouTube

MEDIA CONTACT:
Angela Waugaman
(703)714-0644
Angela_Waugaman@FreddieMac.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/57cf7543-5db8-4b4d-bf14-8023b9671f92

FAQ

What is the average rate for a 30-year fixed-rate mortgage (FRM) as of June 13, 2024?

As of June 13, 2024, the 30-year FRM averaged 6.95%.

How did the 30-year FRM rate change from the previous week?

The 30-year FRM rate decreased from 6.99% the previous week to 6.95%.

What is the current average rate for a 15-year fixed-rate mortgage (FRM)?

The 15-year FRM currently averages 6.17%.

How does the current 30-year FRM rate compare to the same period last year?

The current 30-year FRM rate of 6.95% is up from 6.69% a year ago.

What factors are contributing to the change in mortgage rates?

The decrease in mortgage rates is attributed to signs of a cooling economy.

What challenges are homebuyers facing according to the latest survey?

Homebuyers are facing ongoing challenges with housing affordability due to increased shelter inflation.