"Recent Trends in Mortgage Rates: Rise, Fall, and Stability"

Mortgage rates have increased for the second consecutive week, with the average rate for the benchmark 30-year fixed mortgage rising to 6.66%. Despite this, an increase in demand has led to cautious optimism in the housing market, with low inventory keeping home prices elevated. The Mortgage Bankers Association's index of mortgage applications also rose by 9.9% for the week ended Jan. 5, indicating a strong start to 2024, and MBA anticipates renewed activity in the housing market heading into the spring, especially if housing supply continues to rise.