Summary

The average U.S. 30-year mortgage rate fell to 6.69%, its lowest since October, down from 6.81% last week and 7.03% a year ago, according to Freddie Mac. Rates on 15-year mortgages also declined to 5.96%.

Mortgage applications have risen, boosted by lower rates and increased inventory, though high home prices continue to challenge affordability.

The Federal Reserve’s recent interest rate cut has influenced borrowing costs, and further cuts are anticipated.

Economists predict mortgage rates will remain near 6.5% through 2025, limiting relief for many potential buyers.