Mortgage rates fall for 9th week — here’s what it means for buyers from current mortgage rates tfcu Watch Video

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New US Home Construction , Sinks to Slowest Pace in 4 Years.<br/>Government data released on June 20 indicates that new home construction in America dropped in May to the slowest pace since June 2020, Yahoo Finance reports. .<br/>Housing starts dropped 5.5%, <br/>and building permits dipped 3.8%.<br/>Home completions also fell to the lowest amount since September 2022.<br/>High interest rates, set by the Fed to help tame inflation, have resulted in high mortgage rates.<br/>But recent data has suggested that inflation has started to cool, which may give the Fed the confidence it needs to lower rates.<br/>The weakest U.S. housing starts <br/>since the pandemic-led shutdowns <br/>are fairly convincing evidence of <br/>restrictive monetary policy. , Sal Guatieri, senior economist at BMO Capital Markets, via note.<br/>While a growing population and <br/>workforce are providing some support, <br/>US home builders won’t become <br/>busier until borrowing costs fall, Sal Guatieri, senior economist at BMO Capital Markets, via note.<br/>Meanwhile, other data released on June 20 showed that first-time applications for unemployment benefits dropped last week.<br/>However, continuing claims rose <br/>for a seventh consecutive week
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Homebuyers , Take Advantage of , Easing Mortgage Rates.<br/>'Newsweek' reports that the number of mortgage <br/>applications increased for the week ending June 21 <br/>as the cost of home loans has begun to ease. .<br/>According to the Mortgage Bankers Association (MBA) <br/>Market Composite Index, there was a nearly 1% increase <br/>in mortgage applications from the week before.<br/>MBA data shows that it is the third <br/>consecutive week of an increase <br/>in application numbers. .<br/>At the same time, refinancing <br/>activity was up 28% compared <br/>to the same time in 2023.<br/>In recent weeks, mortgage rates have trended <br/>below 7%, helping to slightly reduce the cost of <br/>monthly payments for potential homebuyers.<br/>Mortgage rates were mostly <br/>lower last week, with the 30-year <br/>fixed rate declining slightly to <br/>6.93 percent, the lowest level <br/>in more than three months, Joel Kan, MBA's deputy chief economist, via 'Newsweek'.<br/>According to Joel Kan, MBA's deputy chief economist,<br/>the drop in rates has failed to convince more <br/>homeowners to change the terms of their existing loans.<br/>According to Redfin data, almost 90% of U.S. <br/>homeowners have mortgages below 6%, <br/>cheaper than the current market.<br/>Purchase applications did see <br/>a small increase after adjusting <br/>for the Juneteenth holiday, Joel Kan, MBA's deputy chief economist, via 'Newsweek'.<br/>Government purchase loans, <br/>primarily FHA and VA, saw <br/>gains of more than 2 percent <br/>over the previous week, <br/>as homebuyers in those segments <br/>sought to take advantage <br/>of the recent rate relief, Joel Kan, MBA's deputy chief economist, via 'Newsweek'
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