FX.co ★ US Mortgage Rates Dip to Lowest Level Since September 2024

In the week ending January 2, the average contract interest rate for 30-year fixed-rate mortgages on conforming loans of $806,500 or less in the United States decreased to 6.25%, as reported by the Mortgage Bankers Association (MBA). This rate is the lowest observed since September 2024 and represents a reduction from the previous week's rate of 6.32% for the period ending December 26. Correspondingly, the points decreased from 0.59 to 0.57, inclusive of the origination fee, for borrowers providing a 20% down payment. Nevertheless, despite these declining rates, mortgage applications have seen a 9.7% reduction over the last two weeks, resulting in the index reaching its lowest point in almost five months.