Mortgage Rates Continue to Drop

Rhea-AI Summary

On December 8, 2022, Freddie Mac (OTCQB: FMCC) reported a significant decline in mortgage rates, with the 30-year fixed-rate mortgage averaging 6.33%, down from 6.49% the previous week. This marks a decrease of nearly three-quarters of a point over the past month, the largest drop since 2008. The 15-year fixed-rate mortgage also fell to 5.67%. Despite these declines, homebuyer sentiment remains low, reflecting ongoing concerns about economic growth and resulting in minimal reaction in purchase demand.

Positive

• 30-year fixed-rate mortgage averaged 6.33%, down from 6.49%
• Largest decline in mortgage rates since 2008, indicating improved borrowing conditions.

Negative

• Homebuyer sentiment remains low despite lower mortgage rates.
• Minimal positive reaction in purchase demand despite significant rate drops.

MCLEAN, Va., Dec. 08, 2022 (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 6.33 percent.

“Mortgage rates decreased for the fourth consecutive week, due to increasing concerns over lackluster economic growth,” said Sam Khater, Freddie Mac’s Chief Economist. “Over the last four weeks, mortgage rates have declined three quarters of a point, the largest decline since 2008. While the decline in rates has been large, homebuyer sentiment remains low with no major positive reaction in purchase demand to these lower rates.”

News Facts

• 30-year fixed-rate mortgage averaged 6.33 percent as of December 8, 2022, down from last week when it averaged 6.49 percent. A year ago at this time, the 30-year FRM averaged 3.10 percent.
• 15-year fixed-rate mortgage averaged 5.67 percent, down from last week when it averaged 5.76 percent. A year ago at this time, the 15-year FRM averaged 2.38 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 makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our creation by Congress in 1970, we’ve made housing more accessible and affordable for homebuyers and renters in communities nationwide. We are building a better housing finance system for homebuyers, renters, lenders, investors and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.

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

FAQ

What is the current average for the 30-year fixed-rate mortgage from Freddie Mac?

As of December 8, 2022, the 30-year fixed-rate mortgage averages 6.33%.

How much have mortgage rates changed in the past month?

In the past month, mortgage rates have decreased by nearly three-quarters of a point, marking the largest decline since 2008.

What were the mortgage rates a year ago compared to now?

A year ago, the 30-year fixed-rate mortgage averaged 3.10%, significantly lower than the current average of 6.33%.

What is the average for the 15-year fixed-rate mortgage as reported by Freddie Mac?

The 15-year fixed-rate mortgage averaged 5.67% as of December 8, 2022.