There’s good news and bad news for home buyers. Mortgage rates fell for a fifth consecutive week, the home loan provider Freddie Mac reported Thursday. The rate for a 30-year, fixed-rate mortgage is now 6.67% — down 0.1% from a week earlier and 0.28% from a year ago.
It was the largest weekly decline in mortgage rates since early March.
But the decline in mortgage rates is tempered by home prices hitting another all-time high. Redfin reported Thursday that the median sale price for a home is now $400,125 — up 1.4% from a year earlier.
As homebuyers struggle with affordability, June marked the biggest decline in home sales in nearly four months. Redfin said pending sales were down 3.2%, and new listings fell for the first time in almost six months.
Homes for sale in June sat on the market for a median of 37 days — up from a median of 32 a year ago.
While mortgage rates have been declining, helping to increase housing affordability, more substantial rate decreases aren't likely until at least September. The Federal Reserve isn't expected to cut its benchmark interest rate this month following Thursday’s strong jobs report from the Bureau of Labor Statistics, which showed the U.S. economy adding 147,000 jobs.