Freddie Mac reports mortgage rates dropped this week. The 30-year fixed averaged 4.14%, down from last week’s 4.23%. A year ago it was 3.71%. The 15-year fixed was 3.39% down from l 3.44%. A year ago it was 2.98%.
Freddie Mac also gave its Mortgage Outlook. It said housing market posted strong gains in 2016, with total home sales of just over 6 million units for largest annual growth in almost 10 years, and mortgage originations reached $2.1 trillion. However it expects rising mortgage rates will weigh on the market going forward, and mortgage originations will drop over 25&% in 2017, due to falling refinances. Pent-up demand for the tight supply of houses for sale remains high, and total home sales will end the year at 5.9 million, down slightly from 2016. That tight supply will continue to prop up house price growth this year.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
