Mortgage rates stall as home sales remain 'lackluster'

Published On Sep 5, 2024, 8:09 AM

Mortgage rates have held steady this week despite recent fluctuations in the housing market. Currently, the average rate on a 30-year fixed mortgage is at 6.35%, showing no change from the previous week, while a year ago it was notably higher at 7.12%. The demand for home sales remains tepid, largely influenced by buyers and sellers waiting for further drops in rates. Approximately 80% of current mortgage holders enjoy rates below 5%, leading to a saturation in refinancing activity. Meanwhile, the rates for 15-year fixed mortgages slightly declined to 5.47%. Experts attribute this stagnation in home sales and demand to a mix of market uncertainties and existing housing supply challenges.