With recent Federal Reserve rate cuts pushing mortgage rates to their lowest point in two years, many homeowners are considering refinancing. However, personal finance expert Jade Warshaw advises waiting until after the election to see how interest rates and the economy will be impacted. She also highlights the costs associated with refinancing and emphasizes the importance of keeping an eye on the market before making any major financial decisions.
Mortgage rates continue to fall, reaching a new low since February 2023, as the Federal Reserve’s recent interest rate cut sparks increased demand for refinancing and home purchases. This decline in rates, which has been ongoing for several weeks, is reviving activity in the housing market.
The average interest rate for a 30-year fixed mortgage dropped to its lowest point in two years, falling to 6.15% for the week ending September 13. This decline comes as markets anticipate a potential interest rate cut by the Federal Reserve, possibly as large as 50 basis points. The drop in mortgage rates has led to a surge in refinancing activity, with applications more than doubling compared to last year.
Mortgage rates dropped for the sixth consecutive week, reaching their lowest point in over a year and a half. This decline has spurred an increase in refinance applications, as homeowners seek to take advantage of lower interest rates. However, despite the rate drop, affordability challenges and limited inventory continue to hinder home purchases.
Azure Power Global Limited, a leading renewable energy provider in India, has announced the refinancing of its Green Bonds maturing in December 2024 with a INR 24 billion Term Loan underwritten by REC Limited. This move showcases Azure Power’s commitment to sustainable growth and its ability to optimize funding for its projects.
Mortgage rates in the US have risen to their highest point in five months, leading to a decline in home-purchase applications for the fifth time in the past six weeks. The 30-year fixed-rate mortgage climbed to 7.24%, marking the highest level since November. The spike in borrowing costs has created a disparity between the resale and new-home markets, with potential homebuyers delaying purchases until rates improve. As a result, listings have become limited, and prices have escalated. Homebuilders, on the other hand, have witnessed a surge in sales, driven by incentives and lower financing costs.
Stay informed with the latest mortgage interest rates from Bankrate. Explore today’s rates for 30-year fixed, 15-year fixed, and 5/1 adjustable rate mortgages. Understand the differences and benefits of each loan term and type to empower your home purchasing or refinancing journey.
