This week, 30-year mortgage rates dropped to 6.06%, down from 6.16% just last week. Even better, that’s a big improvement from where rates were a year ago, when they averaged 7.04%. In fact, this is the lowest level we’ve seen in more than three years, going all the way back to September 2022.
Shorter-term loans are also getting more affordable. 15-year fixed mortgage rates fell to 5.38%, down from 5.46% last week and noticeably lower than last year’s 6.27% average. This is especially good news for homeowners who’ve been waiting for a better time to refinance.
So why does this matter? Lower rates can mean more buying power and lower monthly payments—something many buyers have been waiting for after a tough stretch of higher prices and higher interest rates.
The market isn’t fully back to “normal” yet, but this drop in rates is definitely a step in the right direction and could open the door for more activity in the months ahead.