Mortgage rates head lower
Homebuilders constructed almost 30% fewer single-family homes in the Central Valley in the first half of 2024. As of July 25 builders constructed 2178 homes in Madera, Fresno, Tulare and Kings counties compared to 2986 in the same period and 2023. Statistics are from Construction Monitor.For the same time frame in 2022 builders permitted 2917 new homes.
Builders and homebuyers alike have been constrained by high interest rates that have only started to fall in the past four months.
30 year mortgage rates
Now they are dropping more this week.
As of April of this year the average rate for a 30-year fixed mortgage was 7.05 in April compared to 6.31% today(July 31) according to Zillow. With the Fed expected to reduce interest rates for the first time this fall, mortgage rates should continue to drop, experts say.
Below 6% Percent
Thirty-year fixed mortgage rates parallel the 10-year Treasury yield which has dropped from 4.70 in late April to 3.79 this week .
On Saturday Aug 3 Zillow said ” The current average 30-year fixed mortgage rate fell 7 basis points from 6.03% to 5.96% on Saturday.”