Freddie Mac reports today that fixed-rate mortgages have fallen to a twelve month low. The average rate on a 30-year fixed-rate mortgage was 4.37% this week, continuing the steady downward trend that has been going on since last November. The average 15-year fix was 3.81%.
Freddie Mac chief economist Sam Khater attributes the drop in mortgage rates to the combined effects of cooling inflation and slower global economic growth. Khater anticipates that the strong job market and lower mortgage rates will result in a robust spring homebuying season.