The average rate on the 30-year, fixed-rate mortgage fell two basis points, the 15-year fixed rate was unchanged, and the 5/1 ARM climbed three basis points, according to a NerdWallet survey of daily mortgage rates published by national lenders Tuesday.
The 30-year fixed-rate mortgage is four basis points below where it was a week ago, and 15 basis points lower than one year ago. A basis point is one one-hundredth of one percent.
But the drop in mortgage rates hasn’t translated into more home sales. Compared with 12 months earlier, existing-home sales were down 0.9% in October, according to the National Association of Realtors. Home prices increased 5.5% in those 12 months; meanwhile, average weekly earnings went up 2.4%.
The U.S. median price of an existing home was $247,000 in October, and the supply of for-sale homes fell to 3.9 months from 4.4 months year-over-year.
“Sales are still below year-ago levels because low inventory is limiting choices for prospective buyers and keeping price growth elevated,” Lawrence Yun, chief economist for the National Association of Realtors, said in a news release.
MORTGAGE RATES TODAY, TUESDAY, NOV. 21: