Mortgage Rate Drop Creates a Homebuying Window, but How Long Will It Last?

By Margaret Heidenry February 3, 2023 Mortgage rates have dropped yet again—could this spell an opportunity for homebuyers? The average interest rate for a 30-year fixed-rate home loan fell to 6.09% for the week ending Feb. 2, according to Freddie Mac. That’s down nearly a full percentage point from October’s 20-year high of 7.08%. Meanwhile, the number of homes for sale is soaring, flying 71% higher for the week ending Jan. 28 compared with this same week a year earlier, according to a recent analysis by Realtor.com®. This dip in mortgage rates, combined with plenty of homes on the market, adds up to a potential win for homebuyers. “The less competitive market may have created chances for first-time homebuyers who are looking to become homeowners in 2023,” says Realtor.com® Chief Economist Danielle Hale in her analysis. We’ll break down what the latest real estate statistics mean, and how homebuyers can use them to their advantage, in this latest installment of “How’s the Housing Market This Week?”  See More.

More great articles below

• 2023’s Housing Market Is Looking Up: 3 Things That Should Give Homebuyers Real Hope
• The Rate of Home-Price Growth Hits Lowest Since Late Summer 2020. These Markets Have the Highest Risk of Price Declines