• Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans

Subscribe to Updates

Get the latest finance news and updates directly to your inbox.

Top News

AI Is Changing Public Relations — Here’s How to Stay in Control

July 18, 2025

President Donald Trump Signs GENIUS Act: ‘Crypto Capital’

July 18, 2025

Meet the Person Who Invented Plastic that Dissolves in Water

July 18, 2025
Facebook Twitter Instagram
Trending
  • AI Is Changing Public Relations — Here’s How to Stay in Control
  • President Donald Trump Signs GENIUS Act: ‘Crypto Capital’
  • Meet the Person Who Invented Plastic that Dissolves in Water
  • Why People Leave Medicare Advantage Plans And Why It Matters To You
  • Popular Artificial Sweetener Linked to Strokes and Heart Attacks — Again
  • Afraid AI Will Take Your Job? Here’s What to Do (Instead of Panicking)
  • Elon Musk’s xAI Is Hiring Engineers With Salaries Up to $440K
  • ChatGPT Agent Creates Slide Decks, Spreadsheets From Prompts
Friday, July 18
Facebook Twitter Instagram
FintechoPro
Subscribe For Alerts
  • Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans
FintechoPro
Home » Mortgage rates increase as home price growth slows
Mortgage

Mortgage rates increase as home price growth slows

News RoomBy News RoomAugust 5, 20230 Views0
Facebook Twitter Pinterest LinkedIn WhatsApp Reddit Email Tumblr Telegram

The average 30-year fixed-rate mortgage rate increased to 6.81% for the week ending July 27, 2023, up from 6.78% last week, according to the latest data by Freddie Mac. At the same time, the average 15-year fixed-rate mortgage jumped to 6.11%, up from 6.06% last week. 

The data followed the Federal Reserve’s anticipated interest rate increase. But despite a tense interest rate environment, consumers have been confident about spending capabilities, according to Freddie Mac. 

“Mortgage rates inched up slightly after a significant decline last week,” Freddie Mac Chief Economist Sam Khater said in a statement. “Higher interest rates continue to dampen activity in interest rate-sensitive sectors, such as housing. However, overall U.S. consumer confidence is unwavering, surging to a two-year high in the Conference Board’s Consumer Confidence Index for July 2023. Rising consumer confidence often leads to greater spending, which could drive more consumers into the housing market.”

Still, housing affordability and scarce availability have presented challenges to homebuyers in 2023.

At this time last year, the average rate for a 30-year fixed rate mortgage stood at 5.30%. 

If you’re interested in becoming a homeowner, you could still find the best mortgage rates by shopping around. Visit Credible to compare options from different lenders, without affecting your credit score.

ANNUAL MEDIAN HOME PRICES DECLINE FOR FIRST TIME IN YEARS: REPORT

Housing price increases cool off 

Despite overall higher mortgage rates, annual home price growth slowed for the 12th straight month in May, according to the latest data by CoreLogic. Home prices increased by 1.4% year-over-year in May.

“After peaking in the spring of 2022, annual home price deceleration continued in May,” CoreLogic Chief Economist Selma Hepp said in a statement. “Despite slowing year-over-year price growth, the recent momentum in monthly price gains continues in the face of recent mortgage rates increases.”

“Nevertheless, following a cumulative increase of almost 4% in home prices between February and April of 2023, elevated mortgage rates and high home prices are putting pressure on potential buyers,” Hepp continued. “These dynamics are cooling recent month-over-month home price growth, which began to taper and is returning to the pre-pandemic average, with a 0.9% increase from April to May.”

However, annual home price shifts in May varied significantly across different locations, according to CoreLogic. These are the areas that experienced drops in home prices.

  • Idaho (-8%)
  • Washington (-7.5%)
  • Nevada (-5.6%)
  • Montana (-5.3%)
  • Utah (-4.3%)
  • Arizona (-4.2%)
  • California (-3.5%)
  • Oregon (-3.1%)
  • Colorado (-2.7%)
  • South Dakota (-1.3%)
  • New York (-0.3%)
  • District of Columbia (-0.1%)

On the other hand, Miami posted the highest annual home price increase of 11.8% in May out of the 20 metro areas tracked by CoreLogic. Miami was followed by Atlanta and Charlotte, North Carolina, which each posted the next-highest gains at 4.4%.

If you’re considering jumping into the housing market, it could benefit you to shop around for the best rates. Visit Credible to speak with a mortgage expert and get your questions answered. 

HOME PRICE GROWTH DIPS TO LOWEST LEVELS SINCE 2012: CORELOGIC

Fed could raise interest rates once more in 2023

To cool inflation down to its 2% target range, the Fed increased interest rates again in July. That brought the federal funds rate to a targeted range of 5.25% to 5.5%, its highest level in more than two decades. 

The move also marked the 11th time the central bank increased rates since last year. Despite some positive economic indicators, it’s unclear whether the Fed would loosen its grip on monetary policy. 

“The Fed’s actions over the past year have had a similar cooling effect on inflation, with both the CPI and the PCE Price Index gliding down from around 9% to 3% territory,” George Ratiu, Keeping Current Matters’ chief economist, said in a statement. “As FOMC members see the 2% target within sight—especially without significant damage to the economy up to this point—they clearly want to make another push to reach the milestone.”

Additional increases to the federal funds rate could affect interest rates on mortgages. 

If you’re concerned about rising interest rates, you could find the best mortgage rates by shopping around and weighing your options. Visit Credible to get your personalized rate in minutes.

HIGH INTEREST RATES TAKE A TOLL ON AMERICA’S FINANCES: ALLIANZ

Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at [email protected] and your question might be answered by Credible in our Money Expert column.

Read the full article here

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Articles

Mortgage rates tick higher for first time in weeks

Mortgage July 10, 2025

Mortgage rates fall for fifth straight week, lowest since mid-April

Mortgage July 3, 2025

Mortgage rates fall for 4th straight week, lowest since early May

Mortgage June 27, 2025

US regulator directs Fannie Mae, Freddie Mac to consider cryptocurrency as an asset

Mortgage June 26, 2025

Home sellers face harsh new reality as listings hit record $698B value

Mortgage June 9, 2025

Mortgage rates drop for first time in weeks, still hover near 7%

Mortgage June 5, 2025
Add A Comment

Leave A Reply Cancel Reply

Demo
Top News

President Donald Trump Signs GENIUS Act: ‘Crypto Capital’

July 18, 20250 Views

Meet the Person Who Invented Plastic that Dissolves in Water

July 18, 20250 Views

Why People Leave Medicare Advantage Plans And Why It Matters To You

July 18, 20250 Views

Popular Artificial Sweetener Linked to Strokes and Heart Attacks — Again

July 18, 20250 Views
Don't Miss

Afraid AI Will Take Your Job? Here’s What to Do (Instead of Panicking)

By News RoomJuly 18, 2025

PeopleImages.com – Yuri A / Shutterstock.comAI is an imperfect technology that’s still trying to prove…

Elon Musk’s xAI Is Hiring Engineers With Salaries Up to $440K

July 17, 2025

ChatGPT Agent Creates Slide Decks, Spreadsheets From Prompts

July 17, 2025

Why Most Startups Fail to Get National Press — and What To Do Instead

July 17, 2025
Facebook Twitter Instagram Pinterest Dribbble
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact
© 2025 FintechoPro. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.