If you imagined 2020 was the year you would finally list your house for sale, you may have hit the brakes on those plans when the coronavirus pandemic arrived.But now, we’re more than six months
US Mortgage Rates Fall To All Time Lows This Week
Dated: September 10 2020
Average mortgage rates for 30-year and 15-year mortgages fell to all-time lows this week, Freddie Mac said in a report on Thursday.
The 30-year average is 2.86%, breaking the prior low of 2.88% set in the first week of August, and the 15-year average is 2.37%, beating last week’s record low of 2.42%, the mortgage financier said.
The rates are driving demand in the housing market, helping to counter-balance an economic slowdown that showed signs of worsening after the COVID-19 pandemic flared in some of the nation’s largest states in recent months, said Sam Khater, Freddie Mac’s chief economist.
“These low rates have ignited robust purchase demand activity,” Khater said.
U.S. home sales surged at a record pace in June and July as purchases that were delayed during pandemic lockdowns were shifted later in the year.
Seasonally adjusted existing-home sales jumped 25% in July, beating the prior record monthly gain of 21% set in June, the National Association of Realtors said in an Aug. 21 report.
The supply of homes on the market was the lowest for any July since NAR started tracking the data about five decades ago, said Lawrence Yun, NAR’s chief economist.
Existing home sales in 2020 likely will total 5.4 million, a gain of 1.1% from last year, Yun said. Sales of new houses probably will rise 17% to 800,000, Yun said.
Early in the pandemic, before it was clear the Federal Reserve’s intervention in the bond market would drive mortgage rates to all-time lows, Yun projected home sales in 2020 would plummet 15% this year.
“The buyers are coming in because of the low interest rates – that’s the No. 1 reason in my view,” Yun said in an interview.
For Mark Ross, founder of Ross NW Real Estate and professional real estate broker, real estate has always been the career of choice. During his 25+ years in the industry, Mark has gained experience in....
Latest Blog Posts
The National Association of Home Builders and Wells Fargo Housing Market Index rose two points to 85 in October – the highest score the series has ever recorded since its inception 35 years ago
As much as we all wish we could go back to a time when social distancing was a foreign concept and masks were just something you wore with a Halloween costume, it’s clear by now that COVID-19’