Mortgage Rates Continue to Trend Up

Rhea-AI Summary

Freddie Mac (OTCQB: FMCC) reported that the 30-year fixed-rate mortgage (FRM) averaged 6.93% as of January 9, 2025, showing an increase from 6.91% last week and 6.66% a year ago. The 15-year FRM also rose to 6.14%, up from 6.13% last week and 5.87% from the previous year.

According to Sam Khater, Freddie Mac's Chief Economist, the economy's continued strength has put upward pressure on mortgage rates. Combined with high home prices, these factors are affecting housing affordability. The situation is particularly challenging for first-time homeowners due to the lack of entry-level supply in the market.

Positive

• None.

Negative

• Mortgage rates increased to 6.93% for 30-year FRM, up from 6.66% year-over-year
• 15-year FRM rates rose to 6.14%, up from 5.87% year-over-year
• Housing affordability continues to deteriorate due to high rates and prices
• Lack of entry-level housing supply constrains market growth

MCLEAN, Va., Jan. 09, 2025 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey^® (PMMS^®), showing the 30-year fixed-rate mortgage (FRM) averaged 6.93 percent.

"In the first full week of the new year, the 30-year fixed-rate mortgage remained elevated at just under 7 percent,” said Sam Khater, Freddie Mac’s Chief Economist. “The continued strength of the economy has put upward pressure on mortgage rates, and along with high home prices, continues to impact housing affordability. The lack of entry-level supply also remains an issue, especially for those looking to become first-time homeowners.”

News Facts

• The 30-year FRM averaged 6.93 percent as of January 9, 2025, up from last week when it averaged 6.91 percent. A year ago at this time, the 30-year FRM averaged 6.66 percent.
• The 15-year FRM averaged 6.14 percent, up from last week when it averaged 6.13 percent. A year ago at this time, the 15-year FRM averaged 5.87 percent.

The PMMS^® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. For more information, view our Frequently Asked Questions.

Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | X | LinkedIn | Facebook | Instagram | YouTube

MEDIA CONTACT:
Angela Waugaman
(703)714-0644
Angela_Waugaman@FreddieMac.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/188c3495-08c2-4614-b5f0-fa27792c0f1c

FAQ

What is the current 30-year fixed mortgage rate for Freddie Mac (FMCC) as of January 9, 2025?

The 30-year fixed-rate mortgage averaged 6.93% as of January 9, 2025, up from 6.91% the previous week.

How much have Freddie Mac (FMCC) mortgage rates increased compared to last year?

The 30-year FRM increased from 6.66% to 6.93% year-over-year, while the 15-year FRM rose from 5.87% to 6.14%.

What factors are affecting housing affordability according to Freddie Mac (FMCC)?

According to Freddie Mac, the continued strength of the economy putting upward pressure on mortgage rates, combined with high home prices, is affecting housing affordability.

What is the main challenge for first-time homebuyers according to Freddie Mac (FMCC)?

The main challenge for first-time homebuyers is the lack of entry-level housing supply in the market, combined with high mortgage rates and prices.