Cash-strapped home buyers received a bit of relief this week when mortgage rates tumbled to a new all-time low—making those monthly mortgage payments just a bit cheaper.
The double whammy of the coronavirus pandemic and the economic downturn have led to the lowest mortgage rates in history. They fell to an average of just 2.86% for the most common types of loan, the 30-year fixed-rate mortgage, in the week ending Sept. 10, according to Freddie Mac. The previous low was 2.88% for the week ending Aug. 6.
“It’s good news for buyers who are in the market,” says realtor.com®’s chief economist, Danielle Hale. “It’s going to make monthly payments lower than they otherwise would be. Buyers need that right now, because prices are rising.”
Even amid a health and economic crisis, median home list prices rose 10.8% compared with last year in the week ending Sept. 5, according to