The average US 30-year mortgage rate falls to 7.18% this week, its third straight decline
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ETMarkets.comUS mortgage rates fall for third straight week.
The average 30-year fixed-rate mortgage in the U.S. declined to 7.18% from 7.24% last week, mortgage buyer Freddie Mac said Thursday. One year ago, the average rate was 6.22%.
Borrowing costs on 15-year fixed-rate mortgages, often sought by borrowers refinancing a home loan, also fell again this week. That average rate dipped to 6.57% from 6.60% last week. A year ago, it was at 5.50%.
Lower mortgage rates relieve some of the pressure on prospective homebuyers facing higher borrowing costs on home loans.
Rates on home loans are influenced by inflation, Federal Reserve policy and bond-market investors' expectations for the economy, among other factors. They generally follow the trajectory of the 10-year Treasury yield, which lenders use as a guide to pricing home loans.
Thursday at midday, the yield on the 10-year Treasury fell to 4.84%, its lowest level in nearly two months.