Jun 28, 2019

U.S. long-term mortgage rates fell this week with the 30-year fixed rate averaging 3.73%, the lowest it’s been since November 2016. Last year this average rate stood at 4.55%. Mortgage rates tend to follow the movement of the Treasury's 10-year note, which is also at its lowest level since 2016 because the Federal Reserve indicated earlier this month that it might start cutting interest rates which makes the markets nervous.

"Rates of 4% and, in some cases even lower, create extremely attractive conditions for consumers," says Lawrence Yun, the National Association of REALTOR’s chief economist. "Buyers, for good reason, are anxious to purchase and lock in at these rates."

Yun, however, warns that "there is no guarantee" that mortgage rates will keep going down. Freddie Mac's current forecast says the average rate on a 30-year mortgage for all of 2019 will be 4.1%.