Mortgage rates fall for a second straight week

Mark Huffman, Reporter – Consumer Affairs

Home affordability might have slightly improved this week. Freddie Mac reports mortgage rates appear to have reversed course, at least for now.

“Mortgage rates decreased for the second consecutive week,” said Sam Khater, Freddie Mac’s chief economist. “Given the news that inflation eased slightly, the 10-year Treasury yield dipped, leading to lower mortgage rates. The decrease in rates, albeit small, may provide a bit more wiggle room in the budgets of prospective homebuyers.”

As of now, here are where rates stand:

The 30-year FRM averaged 7.02% as of May 16, down from last week when it averaged 7.09 percent. A year ago at this time, the 30-year FRM averaged 6.39 percent.
The 15-year FRM averaged 6.28%, down from last week when it averaged 6.38%. A year ago at this time, the 15-year FRM averaged 5.75%.

Should this trend continue for several more weeks, affordability could improve. But real estate experts tell us that the housing market needs a lot more listings to really help buyers.