NAR chief economist Lawrence Yun said that while immediate contract activity has not increased, there is a growing interest among potential buyers.
“Although declining mortgage rates did not induce more homebuyers to submit formal contracts in November, it has sparked a surge in interest, as evidenced by a higher number of lockbox openings,” Yun said in a release.
According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.61% as of December 28, down from 6.67% the week prior.
“The rapid descent of mortgage rates over the last two months stabilized a bit this week, but rates continue to trend down,” said Sam Khater, Freddie Mac’s chief economist. “Heading into the new year, the economy remains on firm ground with solid growth, a tight labor market, decelerating inflation, and a nascent rebound in the housing market.”
The report showed that all four US regions experienced year-over-year declines in transactions, reflecting the broader national trend of cooling in the housing market.
