For the tenth time this year, loan rates have reached an all-time high.
The average 30-year steady credit rate fell to 2. 81 percent from 2. 87 percent last week, Freddie Mac said Thursday, adding that reading is the lowest knowledge dating back about 50 years. The last historical low 2. 86% at the beginning of September.
The series of new falls in loan rates is unlikely to end soon. The Fed said in September that its benchmark interest rate is likely to remain close to 0 through 2024, restricting domestic lending rates.
Historically low lending prices have driven an increase in the housing market despite the overall economic crisis. Sales of new homes have recovered, to the point where there are only 3. 3 months left in source if the speed continues, and the shortest era of knowledge dates back to 1963, according to the Census Bureau.
Sales of existing homes have evolved in some way. While the housing market is positive in the suffering U. S. economy, source shortages have increased costs and may soon force some Americans to delay home ownership.
“While we are achieving another all-time low, the tenth record this year, many others are making a profit because refinancing activity remains strong,” said Sam Khater, Freddie Mac’s leading economist. “However, it is vital that not everyone else can benefit from the low rates given the effects of the pandemic. “
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