According to Jinshi Data, U.S. mortgage rates fell to their lowest level since April 2023 last week, accelerating loan applications from potential homebuyers. Data from the Mortgage Bankers Association (MBA) showed that the contract rate for 30-year fixed-rate mortgages fell slightly to 6.43% in the week ended August 30.
This is the fifth week of decline, stimulating the MBA home purchase application index to accelerate its recovery, up 3.3% to 136.1. The market expects the Federal Reserve to start cutting interest rates at its next meeting in two weeks, and mortgage rates have fallen recently.
Even so, borrowing costs and home prices remain high, making the U.S. housing market the least affordable on record. The MBA’s overall index of mortgage applications, which covers both home purchases and refinancings, rose 1.6% to 230.5.
