Mortgage rates fall for the third straight week, dipping below 7%

Mortgage rates have declined for the third consecutive week, providing some relief for Americans grappling with a challenging housing market. The average 30-year fixed-rate mortgage decreased to 6.94%, down from the previous week’s average of 7.02%. This rate is below the important 7% threshold and the lowest since early April. Mortgage rates are closely linked to the 10-year US Treasury yield, which fluctuates based on the Federal Reserve’s interest rate decisions. Although the housing market’s recovery remains stagnant, there is hope for lower mortgage rates as some Federal Reserve officials suggest they may cut rates this year. However, the housing market still faces challenges, including insufficient housing supply and high home prices, limiting affordability for many Americans.