Recent Trends in Mortgage Rates

As of the latest data from Freddie Mac’s Primary Mortgage Market Survey (PMMS), mortgage rates have continued their trend of slightly decreasing, providing a bit of relief for potential homebuyers entering the spring season. Here’s a breakdown of what this means for the housing market and expected trends in the coming months.

Current Rates

As of April 10, 2025, the average 30-year fixed-rate mortgage (FRM) rate was reported at 6.62% by Freddie Mac, slightly down from previous weeks. This marks a continuation of rates remaining below 7% for the twelfth consecutive week, which is beneficial for homebuyers entering the spring market.

Market Outlook

Despite some volatility, mortgage rates have stabilized somewhat compared to the fluctuations seen in late 2024. This stability is encouraging more purchase applications, with a notable increase compared to last year. This trend suggests that the real estate market is responding positively to these changes.

Impact on the Housing Market

Homebuyer Activity

With mortgage rates slightly lower, homebuyers are becoming more active. Purchase applications have increased by about 5% compared to the same time last year, signaling a more favorable spring homebuying season. This increase is a clear indication that consumers are taking advantage of the relatively stable financial environment.

Inventory and Affordability

The modest decrease in rates, coupled with improving inventory levels, presents a more positive scenario for homebuyers. However, affordability remains a challenge due to elevated rates and limited housing stock. This dynamic requires careful consideration for both buyers and sellers as they navigate the current market conditions.