The average rate for a 30-year fixed mortgage rose close to a full percentage point from the start of this year up until the week ending Feb. 25, when it hit 4.18 percent, according to Mortgage News Daily.
The 30-year rate fell below 4 percent to 3.90 percent on March 1, but recovered to 4.08 percent the following day.
The latest development is expected to give homebuyers more purchasing power for the upcoming historically busy spring season and will also keep record-high home prices on their upward path.
Home prices in January were 19.1 percent higher than from the month in 2021, the highest level of growth seen in 45 years, according to a report released on March 1 by CoreLogic.“We will continue to assess the potential impact on mortgage demand from the sharp drop in interest rates this week due to the invasion of Ukraine,” Joel Kan, Associate Vice President of Economic and Industry Forecasting at the Mortgage Bankers Association (MBA), told World Property Journal.
