The 30-year fixed-rate mortgage (FRM) averages 6.6% as of December 12, 2024, down from 6.69% the previous week and marking the third consecutive weekly decline, according to Freddie Mac’s Primary Mortgage Market Survey. This is a significant drop compared to a year ago when the 30-year FRM averaged 6.95%. The 15-year FRM also decreased, averaging 5.84%, compared to 5.96% the prior week and 6.38% a year ago.
Sam Khater, Freddie Mac’s Chief Economist, noted that the recent drop in mortgage rates, coupled with firm consumer income growth and a strong stock market, has boosted homebuyer demand. However, affordability challenges remain a significant barrier for many prospective buyers, tempering the overall improvement in the housing market's outlook.
