"Surprising Drop in Mortgage Rates Signals Good Time for Homebuyers"

Mortgage interest rates on new purchases are dropping, with almost all rates down since last week. The Federal Reserve's pause on rate hikes and lower-than-expected job growth are contributing factors. If the Consumer Price Index shows low inflation, rates could continue to decrease. The average 30-year fixed mortgage rate is 7.50%, while the average 15-year fixed rate is 6.81%. Mortgage rates are expected to remain in the 7% to 8% range in the near term. Homeowners may consider a home equity line of credit (HELOC) while waiting for rates to ease. The Federal Reserve's rate hikes indirectly impact mortgage rates, which are influenced by investor demand for mortgage-backed securities.