On Wednesday, the Federal Reserve committee voted for its second interest rate cut in a row. This quarter-point rate cut announcement is the second straight rate cut this year. The Fed reduced rates by the same quarter-point in September.
Current Mortgage Rates
Mortgage rates are now back to a 3-year low, averaging just 6.16% for a fixed 30-year term. A 15-year fixed loan is at 5.43%, according to Yahoo!Finance.
Understanding the current rate environment and future forecasts are crucial in making informed decisions. In comparison to rates a decade ago, a 6% mortgage rate may not feel particularly great, but they are lower than they have been and are historically in this range.
What Homebuyers Need to Know
Homebuyers should consider their financial situation, including credit score, down payment, and long-term plans, when deciding whether to purchase now or wait. Additionally, housing inventory and home prices in your local market can significantly impact affordability. It’s essential to choose the option that best fits your long-term financial plans.
If you are in the market for a new home, you may want to consider signing up for our Free Email Alerts to catch all the new listings.
