Freddie Mac’s most recent Primary Mortgage Market Survey® (PMMS®), showed that the 30-year fixed mortgage rate increased for the second week in a row last week. But its chief economist thinks the end is in sight.
The 30-year fixed-rate mortgage averaged 6.43% as of April 27, 2023. That’s an increase from the previous week when it averaged 6.39%. Last year at this time, it averaged 5.10%.
The 15-year fixed-rate mortgage dropped, averaging 5.71%. That’s a decrease from last week’s average of 5.76%. Last year at this time, it averaged 4.40%.
Freddie Mac Chief Economist Sam Khater expects rates to soften this year.
“The 30-year fixed-rate mortgage increased modestly for the second straight week, but with the rate of inflation decelerating rates should gently decline over the course of 2023,” he said. “Incoming data suggest the housing market has stabilized from a sales and house price perspective. The prospect of lower mortgage rates for the remainder of the year should be welcome news to borrowers who are looking to purchase a home.”