30-Year Fixed Mortgage Loan Rates Hit Near 3-Year Low

Mortgage Rates in America Continue to Drop

The average rate on the popular 30-year fixed rate mortgage loan hit 3.70% Friday August 2nd according to Mortgage News Daily. We haven’t seen rates this low since November 2016. That rate will slip even lower as a result of the escalating U.S.-China trade war as investors flock to the bond market, driving yields down. 30-year mortgage rates may dip into the mid-3’s this week.

Rates are now incredibly favorable for both refinancing existing loans and home purchases. Existing borrowers have an opportunity to lower payments while home purchasers now have more buying power.

It’s important that borrowers shop for the most competitive rates and terms, and we always encourage borrowers to seek out local community banks as the first source, especially in a volatile rate environment when response times and local underwriting are important.