Mortgage rates remained near historic lows this week. The benchmark 30-year mortgage loan fell below the 3% mark amid more signs of economic recovery from the pandemic recession.
Mortgage buyer Freddie Mac said on Thursday that the average for the 30-year loan dropped from 2.99% to 2.96% last week.
The rate for a 15-year loan, which is a popular option with homeowners refinancing their mortgages, dropped from 2.27% to 2.23% last week.
In the latest economic news, the government reported that the number of Americans seeking unemployment insurance fell last week for the sixth consecutive week, to 376,000, a new minimal pandemic.
“Despite the stronger economy, the housing market is experiencing a slowdown in purchase application activity due to modestly higher mortgage rates,” said Sam Khater, chief economist at Freddie Mac. on a weaker home price trajectory because inventory shortages continue to cause prices to remain high.”
Another report from Thursday found that Americans have moved to slightly larger homes in less expensive areas. On average, people who moved to a different city in 2020 ended up in a zip code where average home values were nearly $27,000 lower than in their previous zip code, according to Zillow.
Rising prices, a shortage of homes on the market, and the ability to work remotely prompted many Americans to move in the past year.