Last week, Freddie Mac released data that reported the U.S. 30-year fixed-rate mortgage rates fell to 2.98%, the lowest in nearly 50 years. Before last week, rates had not gone under 3% since Freddie Mac began its mortgage market survey in 1971.
“The drop has led to increased homebuyer demand and, these low rates have been capitalized into asset prices in support of the financial markets,” Freddie Mac Chief Economist Sam Khater said.
Diving in deeper, the 15-year fixed mortgage rate dropped to 2.48% with an average of 0.7; point, compared to 2.51% the week prior. A year ago at this time, the 15-year averaged 3.23%.
With rates at a record low and housing activity continuing to be the bright spot in the economy, the recent Freddie Mac Report is a sign that homebuyers could continue take advantage of the rates, penting up demand.