Mortgage rates decline for 4th straight week
What is the projected average mortgage rate by year-end?
The projected average mortgage rate by year-end is around 6.5% to 6.7%, according to the Mortgage Bankers Association, Wells Fargo, and Fannie Mae. This is based on expectations of declining inflation and the Federal Reserve cutting its benchmark federal funds rate twice in 2024.
What was this week's average rate on a 30-year loan?
The average rate on a 30-year loan this week declined to 6.86%, according to Freddie Mac. This marks the fourth consecutive week of rate declines, with rates now at their lowest since April. The Mortgage Bankers Association projects rates to continue declining for the remainder of the year, potentially reaching around 6.5% by the end of 2024.
How much would a homebuyer pay monthly on a $300,000 home now?
A homebuyer would currently pay approximately $1,600 monthly on a $300,000 home with a 20% down payment, based on the average mortgage rate of 6.86%. This calculation may vary depending on individual factors such as credit score, loan term, and additional costs like property taxes and insurance.