Mortgage rates are continuing to trend downward as the new year begins.
The latest data by Freddie Mac show the 30-year fixed-rate average dropped to 3.72%, down from 3.74% a week ago and 4.51% this time last year, The Washington Post reports.
The 15-year fixed-rate average also dropped, now at 3.16% compared to 3.19% last week and 3.99% last year. The five-year adjustable rate dipped a tenth of a percentage point, now at 3.46% compared to 3.98% in January 2019.
“The stability is welcome news after the interest rate turbulence of the last year, which caused a slowdown in the housing market and other interest rate sensitive sectors. The low mortgage rate environment combined with the red-hot labor market is setting the stage for a continued rise in home sales and home prices,” says Sam Khater, Freddie Mac’s chief economist, in a statement published by The Post.
In Louisiana, mortgage rates are above the national average; the 30-year fixed-rate average is currently 3.8% and the 15-year rate is 3.4%, according to the latest data on Bankrate.
Some economists are predicting rates will increase gradually this year, up to 3.7%, then up to 4% by 2022. Read the full report here.
