I receive interest updates from several sources all the time. Recently, one source posted some historical interest rates along with the current interest rates. Thought I would share.
Currently, a 30-year fixed Mortgage rate is 2.77%, 3 basis points lower versus last week! 15-year fixed rate is 2.1%, unchanged versus one week ago.
Now for the historic interest rates:
- Average 30-year Interest Rate in the 2010’s: 4.1%
- Average 30-year Interest Rate in the 2000’s: 6.9%
- Average 30-year Interest Rate in the 90’s: 8.1%
- Average 30-year Interest Rate in the 80’s: 12.7%
Interest rates have an affect on home prices, as you might expect. When I purchased a home in the early 1980’s in South Orange County, it cost $157,000. That’s about what I could afford with a 12% interest rate! If rates were lower at the time, I, along with thousands of other buyers, could afford more home! It would most likely have driven up home prices (supply and demand).