Mortgage Rates Plummet After Reaching 20-Year High

Mortgage rates in the US have experienced their largest weekly decline since late 2022, dropping to 7.5% for a 30-year home loan, down from 7.76% the previous week. This comes after rates reached a 22-year high last month. Rising mortgage rates and home prices have impacted sales of previously occupied homes, which fell for the fourth consecutive month in September. The decline in rates is positive news for prospective homebuyers, as it reduces costs and makes homes more affordable. The drop in rates is attributed to easing long-term bond yields following the Federal Reserve's decision not to raise its main interest rate for a second consecutive policy meeting.