US Primary Mortgage Rates Fall to 6% Range... Manhattan Rental Prices Decrease

30-Year Fixed Mortgage Average Interest Rate 6.95%

U.S. mortgage rates have fallen into the 6% range for the first time since last summer.

On the 14th (local time), major foreign media reported, citing data from Freddie Mac's survey of lenders, that the average 30-year fixed mortgage rate dropped to 6.95%.

The average 30-year fixed mortgage rate fell to 7.03% last week, a level not seen since August. It was 6.31% a year ago.

Sam Carter, Chief Economist at Freddie Mac, forecasted, "Considering the continued slowdown in inflation and expectations that the Federal Reserve (Fed) will lower rates next year, the housing market is likely to gradually thaw in the new year."

Mortgage rates move in line with the U.S. 10-year Treasury yield, a global bond rate benchmark. The 10-year Treasury yield dropped to around 3.92% on the day, falling below 4% for the first time since late July.

As mortgage rates decline, loan demand is also recovering. According to the Mortgage Bankers Association (MBA), mortgage applications increased for six consecutive weeks as of the 13th. Foreign media reported that while rates have fallen and home purchase demand has increased, limited market supply is causing home prices to rise.

Meanwhile, rents in Manhattan, New York, fell in November for the first time in about two years. According to real estate brokerage Douglas Elliman and appraisal firm Miller Samuel, the median rent in Manhattan in November was $4,000, down 2.3% year-over-year. This is the first monthly decline in median rent in two years and three months.

This content was produced with the assistance of AI translation services.