Comp One Blog - Your Local Expert!

July 24th, 2023 12:48 PM

Interest Rates, They Are A-Changing  (worst ever folk song title or folk song parody title-you decide)

These numbers always boggle my mind.  Even seemingly diminuitive changes in interest rates can have an outsized impact on mortgage costs.  This from MReport on mortgage rates falling ever so slightly from the 7% range:  

Freddie Mac, in its latest Primary Mortgage Market Survey (PMMS), reports that the 30-year fixed-rate mortgage (FRM) averaged 6.78% as of July 20, 2023, down from last week when it averaged 6.96%. A year ago at this time, the 30-year FRM averaged 5.54%.

LendingTree's Senior Economist Jacob Channel added, "To put into perspective what this drop means for new borrowers, consider that on a 30-year, fixed mortgage worth $350,000, a rate of 6.96% results in a monthly payment of about $2,319 (excluding additional costs like taxes and insurance). At the most recent rate of 6.78%, that monthly payment is $2,277. This translates to savings of $42 a month, to $504 a year and $15,120 over the 30-year lifetime of the loan."

That's a small difference every month, but it's not nothing.  And, $15,120 over the life of the loan.  That's definitely not nothing!  

You can read the entire article here:

If and when we see mortgage rates in the five's again it will be a BIG difference.  


My Favorite Blogs:

Sites That Link to This Blog: