US mortgage rates fall to 7.32% in first decline since August

Summarised from 2 outlets · Updated 22 Oct, 17:33 · Archive

The average 30-year US mortgage rate dropped to 7.32% from 7.40%, marking the first decline since late August.

Mortgage rates fell this week for the first time since late August, providing some relief to prospective homebuyers. The benchmark 30-year fixed-rate mortgage dropped to 7.32% from 7.40% last week, according to mortgage buyer Freddie Mac. The 15-year fixed-rate mortgage, often used for refinancing, eased to 6.68% from 6.71% the previous week. A year ago, 30-year rates stood at 6.19%.

Rates on home loans are influenced by inflation, Federal Reserve policy and bond-market investors' expectations for the economy. They generally follow the trajectory of the 10-year Treasury yield, which lenders use as a guide to pricing home loans. Mortgage rates have been climbing since late February, when the US war with Iran began, pushing up oil prices and driving inflation higher. The 10-year Treasury yield has been mostly easing the last couple of weeks after climbing to its highest level since 2002.

US home sales remain stalled this year in large part because of rising mortgage rates, which add hundreds of dollars a month in costs for borrowers, limiting purchasing power and prompting many to delay buying a home.

How it is being reported

• Average long-term US mortgage rate eases to 7.32% in first pullback since late AugustMortgage rates fell this week for the first time since late August, easing some of the pressure on prospective homebuyers facing higher borrowing costs on home loans.Clickorlando · 22 Oct, 17:00
• Average long-term US mortgage rate eases to 7.32% in first pullback since late AugustMortgage rates fell this week for the first time since late August, easing some of the pressure on prospective homebuyers facing higher borrowing costs on home loans.News4Jax · 22 Oct, 17:00

In this story: Freddie Mac · United States · Iran

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