Mortgage rates remained unchanged this week, sitting at the lowest levels since late 2024. The average 30-year rate was 6.58%, while the 15-year rate dropped slightly to 5.69%. Treasury yields stayed flat, with investors closely monitoring economic data for clues on the US economy’s health and potential Federal Reserve rate cuts.

Traders predict a 77% chance of a 25 basis point rate cut next month. Mortgage applications have stagnated despite slightly lower rates, with refinancing activity dropping 3% and new home purchase applications remaining flat. Buyers are waiting for rates to fall below 6% to re-enter the market, according to industry experts.

Existing home sales rose 2% in July to 4.01 million homes, a 0.8% improvement from last year. Despite elevated rates, the housing market is softening, with flat prices nationally and falling prices in the West and South. Higher inventory levels are giving buyers more negotiating power in many markets.

Read more at Yahoo Finance: Mortgage rates hold steady at lowest level of the year