Mortgage Rates Remain High, Waiting Game Continues
Cushman & Wakefield Chairman of Global Brokerage Bruce Mosler weighed in on the impact of President Donald Trump on commercial real estate, stating that mortgage rates continue to pose a significant challenge for homebuyers and sellers. The latest Primary Mortgage Market Survey from Freddie Mac revealed that the average rate on the 30-year fixed mortgage dipped slightly to 6.95%, still within the stubborn range of 6-7% that has persisted for the past two and a half years.
Freddie Mac’s chief economist, Sam Khater, attributed the lack of significant movement to the continued high rates and ongoing supply shortage in the housing market. This affordability crisis is expected to continue affecting many homebuyers, causing a significant number to remain on the sidelines. Meanwhile, the average rate on the 15-year fixed mortgage fell to 6.12%, slightly more promising but still above the average rate of 5.94% from this time last year.