When I moved to Colorado, I had to get used to checking my weather app daily. Back in Ohio, I knew that today's weather would probably be just like yesterday's, but, in Colorado, the "If you don't like the weather, just wait 5 minutes," claim was not an exaggeration.
These recent mortgage rate changes are feeling pretty similar to our state's weather! We now have to check rates every day if we want to accurately talk about them. Just today, the average 30-year fixed rate is 5.55% when last week it was 5.13% and last year it was 2.87% (based on 0.8 points average). As any homeowner knows, those small percentage points can really add up in a monthly payment!
All this being said, it is good to keep some perspective. While the current rates are nearly double what they were a year ago, it's helpful to look at mortgage rates over time. Over the past 30 years, the 30-year fixed mortgage rates have been all over the board, with its peak in 1981 at 16.63% (hard to imagine these days!) to its low last year at below 3%. This graph is a good visual to remind us where we've been over the years.
If you're curious of the most recent rates, Freddie Mac is always a great resource. We are also always happy to chat or put you in touch with a lender who knows their stuff. In the meantime, we'll give you the same advice we often tell ourselves...try to have patience with this changing market!Posted by Jess Feaster on