Mortgage rates held steady this week on the heels of May economic data.
Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.84%, barely budging from 6.85%.
Fifteen-year rates also fell to 5.97% from 5.99%. A year ago at this time, they averaged 6.17%.
“Mortgage rates have moved within a narrow range for the past few months and this week is no different,” said Sam Khater, Freddie Mac’s Chief Economist. “Rate stability, improving inventory and slower house price growth are an encouraging combination as we celebrate National Homeownership Month.”
Rates reversed an upward streak last week as weaker-than-expected inflation data began filtering down. Both the consumer and producer price indices for May came in lower than analysts expected, which may help keep rates subdued moving forward.
“Anytime inflation shows signs of cooling, that’s typically good for mortgage rates,” Samir Dedhia, CEO of One Real Mortgage, noted.
Last week’s jobs report added color to the market as well, finding that employers added 139,000 jobs in May.
While rates are unlikely to plunge in the wake of these numbers, Dedhia highlighted stability as a virtue in its own right for borrowers.
“For consumers, this is a great time to stay alert. Rates are still holding below 7%, and even small improvements can impact monthly payments and overall affordability,” he said.
“Whether you’re buying or refinancing, it’s a good opportunity to talk with a mortgage advisor, assess your options, and consider locking in a rate while this window stays open.”
