Mortgage rates trended down in March due to the collapse of two regional banks, which shifted the Feds decision regarding the interest rate hikes. According to MetroTex’s April news, “Falling mortgage rates are adding fuel to what appears to be a recovering housing market. Borrowing costs are decreasing as home sales are rising, which bodes well for a potentially active spring market.“
Mortgage interest rates can fluctuate daily based on the economy. Every morning, Monday through Friday, banks and lenders receive a mortgage rate sheet communicating pricing for that day. The current national average 30-year fixed mortgage interest rate is in the higher 6 percent range and the 15-year fixed mortgage interest rate is in the lower 6 percent range.
While these are national average rates, there are a variety of factors the lender considers in determining your own personal mortgage rate when approving you for a mortgage loan. Your credit score is the most important driver. A higher credit score correlates to a lower interest rate. In addition, your debt-to-income ratio and your down-payment are also important factors in determining your personal mortgage interest rate.
Quick Tip: Work on improving your credit score before applying for a mortgage loan. You can obtain a free credit report at AnnualCreditReport.com. Credit errors are common, so contact the applicable credit bureau to correct any errors. There are three credit bureaus – Experian, Equifax and TransUnion.
March 2023 Dallas County Housing Market Data per NTREIS:
• Median Price – $343,250 – 4.4% decrease
• Months of Housing Inventory – 1.9 compared to .9 in March 2022
The months of housing inventory has increased since last year. However, there are still a limited number of houses on the market. A great local real estate agent will be knowledgeable of the market and can help you successfully navigate the process of finding and buying a home!