Mortgage Rates Plunge To Lowest Level In Over A Year

Mortgage rates dropped to their lowest rate in over a year, according to the Primary Mortgage Market Survey published by Freddie Mac (OTCQB: FMCC).

The 30-year fixed-rate mortgage averaged 6.47% as of Aug. 8, down from last week when it averaged 6.73%. A year ago at this time, it averaged 6.96%.

The 15-year fixed-rate mortgage averaged 5.63%, down from last week when it averaged 5.99%. A year ago at this time, it averaged 6.34%.

“Mortgage rates plunged this week to their lowest level in over a year following the likely overreaction to a less than favorable employment report and financial market turbulence for an economy that remains on solid footing,” said Sam Khater, Freddie Mac’s chief economist. “The decline in mortgage rates does increase prospective homebuyers’ purchasing power and should begin to pique their interest in making a move. Additionally, this drop in rates is already providing some existing homeowners the opportunity to refinance, with the refinance share of market mortgage applications reaching nearly 42%, the highest since March 2022.”