Buying or selling a home? Bet you didn’t think 30-year fixed mortgage rates would be back under 4% again!
That’s a percentage point below where rates were at the end of last year, helping to encourage more buyers to get into the market and making homes more affordable and easier to finance.
Mortgage rates have fallen along with interest rates, although that’s not necessarily a good thing. “Yields have fallen amid concerns about U.S. economic growth and the potential for a protracted trade dispute with China,” says the Wall Street Journal.
Still, it’s not all doom and gloom. House prices are still rising in most areas, although at a slower pace than in years past.
Today’s strong job market and low mortgage rates provide a tailwind to home sales. But high home prices may be holding sales back. In the past, home prices have been rising faster than inflation. That has made housing less affordable for many Americans.
CNBC reporter Diana Olick says Las Vegas, Tampa, Florida, and Phoenix may continue to see the biggest home price gains. “These were the markets hit hardest during the housing crash and therefore still have the furthest to go to fully recover,” reports Olick.