Rates post their second consecutive weekly decline, says Freddie Mac
US mortgage rates have slipped for the second week in a row, with the latest decline bringing them to their lowest level since the end of October.
Freddie Mac said Thursday that the average 30-year fixed rate slid to 6.19% for the week ending December 4, down from 6.23% the week before and a full 50 basis points lower than at the same time last year.
The mortgage lender’s chief economist Sam Khater said that decline has created “a more favorable environment for homebuyers and homeowners,” with the 15-year average also falling (to 5.44%, compared with 5.51% the week prior).
While rates have moved slowly lower this year, they aren’t expected to nosedive anytime soon. In its housing market forecast for 2026, real estate giant realtor.com indicated that it expects rates to average 6.3% throughout next year, offering a mild boost to affordability and helping boost sales slightly.
Zillow also expects mortgage rates to hover above 6% throughout next year – although Fannie Mae, Freddie’s fellow government-sponsored enterprise (GSE), says they’ll average 6.2% in the first quarter, but dip to 5.9% by the end of the year.
Market activity has remained sluggish even amid the recent dip in rates. The Mortgage Bankers Association (MBA) said this week that its Market Composite Index – which measures loan application volume – ticked 1.4% lower on a seasonally adjusted basis for the week ending November 28.
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