Mortgage Rates Update: March 22, 2024
The latest data shows a decline in 30-year purchase mortgages, now at 7.20%, dropping 12 basis points from the previous day. This marks the fourth consecutive day of decrease, with a total drop of 25 basis points since Friday, March 15. Similar decreases can be seen across various mortgage rates for both purchase and refinance loans.
Shopping for the Best Mortgage:
When it comes to mortgage rates, it’s essential to remember that rates can vary significantly among lenders. Therefore, it’s wise to compare rates regularly to find the best mortgage option, whether you’re seeking a new purchase or a refinance loan.
National Averages of Lenders’ Best Mortgage Rates:
New purchase rates on 30-year mortgages saw a 12 basis point drop, bringing the average down to 6.57%. While rates are currently higher than recent lows, they remain much lower than the historic highs seen in previous months.
Jumbo 30-year rates held steady at 6.95%, matching the highest mark since November. Despite this, rates are still more favorable than the peak reached in October.
Refinancing Rates:
Thursday’s refinancing rates saw a general decrease for various loan types, with some rates remaining steady or seeing slight increases. The 30-year refi average had a substantial 21 basis point drop, down 32 basis points for the week.
Factors Influencing Mortgage Rates:
Mortgage rates are influenced by a combination of macroeconomic and industry factors, including the bond market, Federal Reserve policy, and competition among lenders. The recent trends in rates are a result of both current economic conditions and past policy decisions.
Policy shifts by the Federal Reserve, such as bond buying and changes to the federal funds rate, have played a significant role in shaping current mortgage rates.
What to Expect Going Forward:
The Federal Reserve is currently holding rates steady, but there are expectations for rate reductions later in the year. It’s crucial to stay informed about these developments as they can directly impact mortgage rates.
Tracking Mortgage Rates:
The national averages mentioned in this update provide a snapshot of current rates offered by top lenders. Remember, individual rates may vary based on your financial profile, so it’s important to seek personalized quotes from lenders.
Mortgage Rates by State:
Mortgage rates can differ based on the state, influenced by factors like credit score averages and regional lending practices. Understanding state-specific rates can help consumers make informed decisions when obtaining a mortgage.
States like Mississippi, Louisiana, and Hawaii currently offer some of the lowest purchase rates, while others like Minnesota and Arizona have higher average rates.
Stay Informed for Better Decisions:
When navigating the mortgage market, it’s crucial to stay informed about the latest trends and upcoming policy changes that could impact rates. Remember, the rates provided here are averages, and your individual rate may vary based on various factors.
Investopedia / Alice Morgan
