30-Year Fixed Mortgage Rate Drops Steeply by 63 Basis Points The average 30-year fixed mortgage rate has experienced a sharp decline, falling by 63 basis points to 6%. This marks the lowest level since 2022 and represents a significant shift for homeowners and potential buyers. The drop offers substantial savings over the life of a loan, potentially freeing up tens of thousands of dollars in interest payments. A 63-basis-point decrease translates to a 0.63% reduction in the rate. For context, one basis point equals 0.01%, so this change is not minor. For borrowers with large loans, such as $300,000, the impact is considerable. Over a 30-year term, a 0.63% difference in interest rates can result in thousands of dollars in savings. This could be redirected toward down payments, home improvements, or personal savings. The data comes from Freddie Mac’s latest Primary Mortgage Market Survey, released on March 5, 2026. The average rate now stands at 6%, down from 6.63% at the same time last year. While there was a slight increase of 2 basis points from the previous week, the annual decline remains significant. The broader trend of falling rates continues to benefit borrowers. To illustrate the savings, consider a $300,000 loan. A 0.63% reduction in the rate could save approximately $2,000 annually. Over 30 years, this adds up to tens of thousands of dollars in total savings. These figures highlight the tangible impact of rate changes on homeowners’ finances. The drop in rates is influenced by a combination of economic factors. While global events, such as Middle East tensions, have caused short-term volatility and increased 10-year Treasury yields, the overall trend remains favorable.#housing_market #middle_east #freddie_mac #mortgage_rates #sam_khater
