Mortgage Rates Dip Below 6%, Igniting Hopes for Spring Housing Market Rebound

This decline, a nearly one-percentage-point drop from 6.89% a year ago, improves affordability, potentially boosting home sales during the spring season. The decrease is attributed to falling Treasury yields, reflecting market expectations of slower growth and easing inflation.

While rates below 6% are a positive development, tight inventory and elevated home prices continue to pose challenges. The article also notes that the 10-year Treasury yield is testing a critical technical level at its 200-day moving average, a level not sustained below since March 7, 2022.

A sustained break below this level could signal further downside for yields.