SVB Collapse Sends Mortgage Rates Tumbling, Offering Savings for Homebuyers

Mortgage rates unexpectedly pulled back this week after the collapse of Silicon Valley Bank and heightened investor concern of additional bank closures. The average 30-year fixed rate dipped to 6.60% this week, compared to last week’s average of 6.73%. While this drop has made home-buying more affordable for many Americans, rates could fall even further, depending on the financial market and the Fed’s meeting next week. Demand for mortgages increased 6.5% from last week, according to the Mortgage Bankers Association (MBA).