U.S. Mortgage Rates Slightly Decline Amid Economic Uncertainty

Last week, U.S. mortgage rates experienced a slight decrease as sellers struggled to find buyers willing to meet their asking prices. According to Freddie Mac data, the average rate for a 30-year fixed mortgage fell from 6.53% to 6.48%. A year ago, the rate stood at 6.85%. According to Jin10, the economic uncertainty caused by the Iran war has heightened inflation expectations, keeping mortgage rates elevated and putting pressure on the housing market during the peak selling season. The growth in inventory has outpaced demand, making it difficult for many sellers across the country to attract offers from buyers. Redfin real estate agent Patricia Ammann noted that the momentum in home price increases is not as strong as it was five years ago, as high gasoline prices and rising living costs deter potential buyers from driving up home prices.