US Mortgage Rates Fall Further: MBA
2026-01-14 12:30
By
Joana Taborda
1 min. read
The average contract interest rate for 30-year fixed-rate mortgages on conforming loans of $806,500 or less in the US fell to 6.18% in the week ending January 9, marking a new low since September 2024, according to the Mortgage Bankers Association.
It represents the fourth consecutive weekly drop, reflecting typical post-holiday volatility and also driven by President Trump's order for Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities in an effort to push mortgage rates lower.
As a result, mortgage demand surged 28.5%, with refinancing applications jumping 40.1% and applications to purchase a home rising 15.9%.“Rates started to come down a little just before that, and part of it might be a bounce back from the holidays, even though we did adjust for the holiday in the results the week before.
It’s always a noisy time.
This was a real move based upon the rate drop.
Spreads had been moving in even before the announcement”, said Joel Kan, an MBA economist.