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LOW MORTGAGE RATES: Mortgage rates fell to historically low levels during the week, according to Freddie Mac on Thursday. (Justin Sullivan/Getty Images)
Low mortgage rates fell even lower during the week while the number of home sales rose in July.
Freddie Mac released their weekly report on Thursday, noting that the 30-year fixed loan fell to record lows to 4.32 percent from 4.36 percent.
The 15-year fixed-loan also reached historic lows, falling to 3.83 percent from 3.86 percent, Freddie Mac said.
In a separate report, the National Association of Realtors found that the index of pending home sales rose 5.2 percent in July, which provides an indication of home sales in July.
In recent months, home sales have fallen despite the historically low mortgage rates and the latest report shows good indications that the economy is not doing as badly as previously thought.
The index rose from 75.5 in June to 79.4 in July but is not nearly at the same levels experienced a year ago when the index was 98.1.
“Home sales will remain soft in the months ahead, but improved affordability conditions should help with a recovery,” Lawrence Yun, chief economist for the Realtors association, said in a statement.
“But the recovery looks to be a long process. Home buyers over the past year got a great deal, and buyers for the balance of this year have an edge over sellers.”
“For those who bought at or near the peak several years ago, particularly in markets experiencing big bubbles, it may take over a decade to fully recover lost equity.”
