While the average 30-year offer rate is still not that much higher than the 2.89% low point reached in December 2020, the days of record low rates are slipping farther into the rearview mirror, leaving prospective homebuyers with less ability to offset the soaring home prices seen in the pandemic. (The Balance’s daily mortgage data goes back only to April 2021, and data on yearly highs and lows only as far back as 2020, but we do know the highest the 30-year average got in 2020 was 4.71% in March. We also know separate measures from Freddie Mac and the Mortgage Bankers Association show the average 30-year rate hit an all-time record low in the first winter of the pandemic.) “The financial comfort zone continues shrinking as home prices keep soaring and mortgage rates tick upward,” said Todd Teta, chief product officer with real estate data company ATTOM Data Solutions, in a report on home affordability released last week. Have a question, comment, or story to share? You can reach Diccon at dhyatt@thebalance.com.
