U.S. Mortgage Rates Hit 1-Year Low Amid Refinancing Surge
Mortgage rates in the U.S. dropped to a one-year low, with the 30-year fixed rate declining to 6.30% for the week ending October 24. The Mortgage Bankers Association reported a consecutive rise in refinancing activity, reaching 57.1% of total mortgage applications. Joel Kan, MBA's Vice President, attributed the uptick to conventional refinance demand.
Despite the favorable borrowing environment, pending home sales stagnated in September, remaining flat month-over-month and dipping 0.9% annually. Lawrence Yun of the National Association of Realtors noted contract signings matched the year's second-strongest pace but emphasized the market remains below healthy levels. Elevated home prices and tight inventory continue to challenge affordability.
