Fed Rate Cut Expectations Drive 30-Year Mortgage Rates Down to 6.35%

The average rate on a 30-year mortgage has decreased to 6.35%, its lowest level in over a year, providing some relief for potential homebuyers facing high housing prices. This decline, attributed to expectations of a Federal Reserve rate cut, marks the second consecutive week of easing rates. While 15-year fixed-rate mortgages also saw a decrease, experts suggest that a significant rebound in purchase activity may require further rate reductions. This trend offers a glimmer of hope for the housing market, though home prices remain near all-time highs.