Mortgage Rates Plummet, Offering Hope for Homebuyers

Mortgage rates have fallen for the second consecutive week, but they remain at their highest level in over two decades, offering little relief to new homebuyers. The average rate on the benchmark 30-year fixed mortgage dropped to 7.5% from 7.76% the previous week, while the average rate on the 15-year note fell to 6.81% from 7.03%. However, the high cost of living, coupled with rising household debt, continues to strain consumers, keeping the housing market stagnant. The surge in home prices and mortgage rates has led to a 7.4% increase in monthly costs, making it more challenging for buyers to afford homes.