WASHINGTON (AP) — Average long-term U.S. bank prices have fallen this week and remain at low levels as the Federal Reserve prepares to lift its high mortgage debt later this month.
The average 30-year loan rate fell to 3.76% this week from 3.89% last week, reported mortgage buyer Freddie Mac in China. Last year, the long-term rate was 3.02%.
The average rate over a 15-year fixed rate, popular among those returning to their homes, fell to 3.01% from 3.14% last week. It stood at 2.34% last year.
President Jerome Powell said Wednesday that he supports a four-point rise in the Federal Reserve’s benchmark short-term interest rate, which the Fed is facing later this month, with a much larger increase than planned by some lawmakers.
But Powell has opened the door to high inflation or inflation that has reached 40 years, not much lower this year, as expected by the Fed.
The Department of Labor reported last month that consumer prices were 7.5% in January compared to the previous 12 months, the sharpest year-over-year increase since February 1982. Higher prices nearly wiped out U.S. wages, underscoring the Federal target. Reservation raising loan prices.
Housing prices have risen 14 percent in the past year and 30 percent in some cities. Livelihoods were low even before the epidemic began in 2020, and rising prices and rising prices will make it harder for Americans to maintain modern housing.