Nicole Friedman of The Wall Street Journal reports that falling mortgage rates boosted home-shopping activity in January, luring the first wave of opportunistic buyers back to the market after last year’s epic collapse in home sales. Friedman writes:
A number of home seekers who paused when borrowing rates marched higher last year have resumed their search, real-estate agents say. Real-estate showings in the week ended Jan. 31 were up 9.9% from the first week of the year, according to ShowingTime, a subsidiary of Zillow Group.
Buyers are seizing on the recent reversal in mortgage rates, which hit a 23-year high of 7.79% in October. The average rate on a 30-year fixed mortgage has fluctuated between 6.6% and 6.7% this year and was at 6.63% last week, according to Freddie Mac. […]
Home builder PulteGroup’s sales picked up in December as mortgage rates declined.
“The strength has really continued into January,” said Chief Executive Ryan Marshall on a Jan. 30 earnings call. “We continue to be in a situation where there’s low supply. Affordability has definitely gotten better.”
Read more here.