Mortgage rates moved slightly lower this week, but long-term rates remain elevated in the upper-6% range.
Freddie Mac's latest Primary Mortgage Market Survey, released Thursday, showed that the average rate on the benchmark 30-year fixed mortgage edged down to 6.89% from last week's reading of 6.95%. The average rate on a 30-year loan was 6.64% a year ago.
Elevated mortgage rates are dragging down demand in the housing market. (Justin Sullivan/Getty Images / Getty Images)
"Mortgage rates have been stable over the last month and incoming data suggest the economy remains on firm footing," said Sam Khater, Freddie Mac’s chief economist. "Even though rates are higher compared to last year, the last two weeks of purchase applications are modestly above what we saw a year ago, indicating some latent demand in the market."
The average rate on the 15-year fixed mortgage fell to 6.05% from 6.12% last week. One year ago, the rate on the 15-year fixed note averaged 5.9%.