Interest rates for mortgages remain unchanged, according to Freddie Mac.
Title: Springtime Buying: Is the Housing Market Turning Buyer-Friendly?
High Time for House Hunting?Considering purchasing a new abode this spring? 'Mansion Global' host Katrina Campins shares her insights on when to list properties on the market in the popular real estate show 'The Claman Countdown.'
Mortgage Rates remain unchanged this week, Freddie Mac stated on Thursday.
Freddie Mac's latest Primary Mortgage Market Survey, issued on Thursday, indicated that the average rate on the typical 30-year fixed mortgage remained steady at 6.76%, the same as the previous week's findings.
Last year at this time, the average interest rate on a 30-year loan was 7.09%.
*IS THE US HOUSING MARKET GROWING MORE BUYER-ACCOMMODATING?*
"Since mortgage rates held steady this week," said Sam Khater, Freddie Mac's chief economist, "sellers are less likely to shift prices and may even find their properties selling quicker. This is beneficial for potential buyers as they find themselves in a more favorable position."
The average rate on a 15-year fixed mortgage dipped slightly to 5.89% from its previous week's reading of 5.92%. Conversely, a year ago, the rate on the 15-year fixed mortgage averaged 6.38%.
*THE HOTTEST REAL ESTATE MARKETS, ACCORDING TO REALTOR.COM CEO*
Affordability and supply problems have plagued the housing market for years, making it difficult for novice homebuyers to break into the market.
"The U.S. housing market is at an impasse in terms of transactions," said Damian Eales, CEO of Realtor.com, during a recent appearance on 'Mornings with Maria.' "For the past two years, we've been hitting 30-year lows in terms of transactions. This malaise can be attributed to high interest rates. At present, most American mortgages - about 70%, in fact - are below 5%. However, prevailing rates are closer to 6.8%, which may rise further shortly. Sellers are hesitant to sell due to the prospect of having to refinance at a higher cost."
According to a Realtor.com report released in March, there is a shortage of approximately 3.8 million homes on the market.
FOX Business' Aislinn Murphy contributed to this report.
[1] Realtor.com CEO suggests that high interest rates and an uncertain economy may be driving sellers to hold onto their properties.[2] The increased inventory and slower home price growth are making the housing market more favorable for buyers.[3] Homes are also staying on the market for longer periods, offering buyers more negotiating power.
- Sellers, as per Freddie Mac's chief economist Sam Khater, may find their properties selling quicker due to steady mortgage rates, potentially making the market more favorable for potential buyers.
- According to Damian Eales, CEO of Realtor.com, the U.S. housing market has been experiencing a transaction impasse due to high interest rates for the past two years.
- The current state of the housing market, as outlined by Realtor.com, is characterized by an inventory surplus and slower home price growth, which might make the market friendlier for buyers.
- Homes are now staying on the market for extended periods, providing buyers with extended negotiating power.
- Despite approximately 70% of American mortgages currently being below 5%, prevailing rates are closer to 6.8%, with a potential for further increases.
- Sellers might be hesitant to sell in the current market due to the potential need to refinance at higher costs, as per Damian Eales' comments on Fox Business' Mornings with Maria.
- As stated in a Realtor.com report released in March, there is a shortage of about 3.8 million homes on the market, which could impact both buyers and sellers in the real estate market.
