The US mortgage reference rate fell again this week after rising to 3% a week ago.
According to the Freddie Mac Primary Mortgage Market Survey, the average 30-year fixed-rate mortgage fell five basis points to 2.95%, giving borrowers more time to set a mortgage rate or refinance.
“Mortgage rates have fallen below 3 percent and continue to provide many homeowners with opportunities to refinance and increase their monthly cash flow,” said Sam Khater, Freddie Mac’s chief economist.
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Khater found that homeowners who refinanced their 30-year fixed-rate mortgage last year saved more than $ 2,800 annually.
“Significant opportunities remain today as nearly $ 2 trillion in compliant mortgages have the option to refinance and cut their interest rate by at least one-half percentage point,” he said.
The 15-year fixed-rate mortgage was down 2 basis points to 2.27%. Meanwhile, the five-year Treasury-indexed hybrid adjustable rate mortgage (ARM) remains unchanged at 2.59%.