Mortgage Rates: From Anomaly at 3% to Normal 30-Year Rates

Reported 6 months ago

As mortgage rates reach over 7%, home-buying affordability decreases, frustrating potential buyers. Mortgage rates have doubled, surpassing 7% since the Federal Reserve began raising interest rates in mid-2022. Despite this increase, historical data shows that 7% is not unprecedented. Mortgage rates averaged around 6% between 1950 and 2000, making today's rates closer to 'normal' based on historical trends. Economists predict rates may drop below 7% early next year, providing some relief for home buyers.

Source: YAHOO

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