In hopeful sign, US mortgage rates at lowest level since September

Robert Besser
24 Jan 2023, 06:28 GMT+10

Data from the Mortgage Bankers Association released this week showed that the average interest rate on leading US home loans dropped to its lowest level since September
For the week ending on 31st January, the average contract rate on a 30-year fixed-rate mortgage fell by 6.23 percent to 19 basis points
The yield on the 10-year note acts as a benchmark for mortgage rates

WASHINGTON D.C.: Data from the Mortgage Bankers Association released this week showed that the average interest rate on leading US home loans dropped to its lowest level since September, indicating that inflation has past its peak as Treasury yields decrease.

For the week ending on 31st January, the average contract rate on a 30-year fixed-rate mortgage fell by 6.23 percent to 19 basis points, as financial markets have been encouraged by recent data showing that inflation is slowing, which will enable the Federal Reserve to curb its interest rate hikes.

The yield on the 10-year note acts as a benchmark for mortgage rates.

As the Federal Reserve Bank raised its benchmark policy rate in 2022 at the most rapid rate in 40 years, mortgage rates surged to more than 7 percent in October.

Lower mortgage rates have attracted more buyers, with the Mortgage Bankers Association's Market Composite Index, a measure of mortgage loan application volume, rising 27.9 percent from last week, the highest increase since March 2020.

After lifting its policy rate by 50 basis points in December, the US central bank is expected to slow its pace of rate hikes to a quarter percentage point increase when it next meets on 31st January and 1st February.

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Mexico Star.

More Information

22 ℃

Fair in Mexico City Intl

Lifestyle

Section

US Denounces Sudan Release of Killer of US Aid Worker

washington - The United States on Wednesday voiced alarm over Sudan's release of a man sentenced to death over the ...

Cambodia Seeks More Loans From Beijing Amid Fears of 'Debt Trap'

Phnom Penh - Cambodian Prime Minister Hun Sen is expected to visit Beijing next week looking to borrow more than ...

Centre to hire 38,800 teachers for Eklavya Model Residential Schools

New Delhi [India], February 1 (ANI): The Central government will hire 38,800 teachers and support staff for Eklavya Model Residential ...

Union Budget 2023-24 presents vision for Amrit Kaal, proposes changes income tax slabs, steep hike in capital investment

New Delhi [India], February 1 (ANI): With a thrust on better logistics and infrastructure, ease of doing business and inclusive ...

Budget 2023: India is moving forward firmly towards net-zero carbon emission by 2070, says Sitharaman

New Delhi [India], February 1 (ANI): During her Union Budget speech on Wednesday, Union Finance Minister Nirmala Sitharaman said India ...

India Upbeat About Economic Growth, Despite Slowdown

NEW DELHI - India's economic growth will slow marginally this year, but the government expressed optimism Wednesday that the country's ...

International

Section