DeFi Daily News
Monday, June 2, 2025
Advertisement
  • Cryptocurrency
    • Bitcoin
    • Ethereum
    • Altcoins
    • DeFi-IRA
  • DeFi
    • NFT
    • Metaverse
    • Web 3
  • Finance
    • Business Finance
    • Personal Finance
  • Markets
    • Crypto Market
    • Stock Market
    • Analysis
  • Other News
    • World & US
    • Politics
    • Entertainment
    • Tech
    • Sports
    • Health
  • Videos
No Result
View All Result
DeFi Daily News
  • Cryptocurrency
    • Bitcoin
    • Ethereum
    • Altcoins
    • DeFi-IRA
  • DeFi
    • NFT
    • Metaverse
    • Web 3
  • Finance
    • Business Finance
    • Personal Finance
  • Markets
    • Crypto Market
    • Stock Market
    • Analysis
  • Other News
    • World & US
    • Politics
    • Entertainment
    • Tech
    • Sports
    • Health
  • Videos
No Result
View All Result
DeFi Daily News
No Result
View All Result
Home Finance Personal Finance

rewrite this title Weekly Mortgage Rates Drop as Tariffs Rattle Markets – NerdWallet

Kate Wood by Kate Wood
March 6, 2025
in Personal Finance
0 0
0
rewrite this title Weekly Mortgage Rates Drop as Tariffs Rattle Markets – NerdWallet
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on Telegram
Listen to this article


rewrite this content using a minimum of 1000 words and keep HTML tags

Mortgage rates experienced what President Trump characterized as a “big, beautiful drop” this week in his speech to Congress. The average rate on the 30-year fixed-rate mortgage fell 14 basis points to 6.51% the week ending Mar. 6, according to rates provided to NerdWallet by Zillow. A basis point is one one-hundredth of a percentage point.

There’s no denying that mortgage rates are lower. In fact, this is the third week running that we’ve seen lower average rates not just on 30-year loans, but also on 15-year fixed and 5-year adjustable rate mortgages. But what’s been driving down mortgage rates isn’t good news for the housing market.

Tariffs were among the biggest headline makers this week. Levies on Chinese goods were increased, and tariffs on products from Mexico and Canada were rolled out only to be reversed within days. (Duties on Mexican and Canadian imports are now set to begin in April.) Mortgage rates went down as markets fought whiplash. But in the longer run, tariffs could make homes even more expensive than they already are.

Explore mortgages today and get started on your homeownership goals

Get personalized rates. Your lender matches are just a few questions away.

What’s your property type?

Select your optionSingle family homeTownhouseCondoMulti-family home
How do you plan to use this property?

Select your optionPrimary residenceSecondary residenceInvestment property

Get Started

Won’t affect your credit score

Why mortgage rates fell

These policy changes rippled out to mortgage rates as markets grappled with fears of a trade war. After the tariffs rolled out, Canada and China quickly announced retaliatory measures. Major U.S. retailers like Target and Walmart have already given warnings that some goods’ prices are likely to rise.

U.S. markets took this news pretty badly, with stocks falling as investors tried to sort out the implications. As investors shed stocks, many picked up bonds — a phenomenon known as a flight to safety. The idea is that when stocks are unpredictable, investors can protect themselves by moving money into less risky assets, like bonds.

Mortgage rates tend to move alongside bonds, because mortgages are packaged into similar investments. On the secondary market, home loans are bundled into mortgage-backed securities. Because they’re made of long-term loans, MBS work a lot like bonds and attract the same buyers.

When there’s a robust market for bonds, there are usually plenty of buyers for MBS, too. It’s an environment that’s highly supportive of lower mortgage interest rates, and that’s very much what we saw this week.

In the short term, we’re seeing lower mortgage rates as a downstream effect of Trump’s tariffs — though rattled markets and higher grocery bills may be a steep price to pay for half a percentage point. But longer term, tariffs could have even more profound effects on the housing market.

Why home prices could rise

Tariff news has been met with considerable alarm by home builders. Canada is the United States’ main trading partner for lumber; Mexico is our go-to for gypsum, which is used in drywall. Estimates of how much tariffs could add to the cost of new construction homes are substantial.

Real estate data company CoreLogic puts the tariff price premium at $17,000 to $22,000. The National Association of Home Builders cites a lower figure of $7,500 to $10,000. But the NAHB also estimates that even a $1,000 rise in the cost of a new construction home would be enough to price out approximately 116,000 households.

Sure, not everyone’s in the market for a new construction home. But higher prices on new homes could drive up prices of existing homes, too, as a shift in home buyer demand would create more competition. And climbing home prices could, of course, potentially erase any affordability gains from lower interest rates.

and include conclusion section that’s entertaining to read. do not include the title. Add a hyperlink to this website http://defi-daily.com and label it “DeFi Daily News” for more trending news articles like this



Source link

Tags: dropMarketsmortgageNerdWalletratesrattlerewritetariffstitleWeekly
ShareTweetShare
Previous Post

Right now is a good time for Mag 7 tech trade: Dan Ives

Next Post

The Pat McAfee Show Live | Thursday March 6th 2025

Next Post
The Pat McAfee Show Live | Thursday March 6th 2025

The Pat McAfee Show Live | Thursday March 6th 2025

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

No Result
View All Result
  • Trending
  • Comments
  • Latest
rewrite this title Haliey Welch Breaks Silence on Hawk Tuah Coin Collapse

rewrite this title Haliey Welch Breaks Silence on Hawk Tuah Coin Collapse

May 6, 2025
The Future of Blockchain: An Inside Look at Cardano

The Future of Blockchain: An Inside Look at Cardano

July 18, 2024
Boeing machinists refuse latest offer, prolonging bruising six-week strike

Boeing machinists refuse latest offer, prolonging bruising six-week strike

October 23, 2024
rewrite this title with good SEO Spar Supermarket In Switzerland Starts Accepting Bitcoin

rewrite this title with good SEO Spar Supermarket In Switzerland Starts Accepting Bitcoin

April 18, 2025
Moralis Web3: Enterprise-Grade Crypto PnL API for Tracking Wallet Profit & Loss

Moralis Web3: Enterprise-Grade Crypto PnL API for Tracking Wallet Profit & Loss

July 24, 2024
I Built The DREAM Office Setup!

I Built The DREAM Office Setup!

November 30, 2024
rewrite this title As Bitcoin Price Soars, How Global Crypto Investors Can Earn BTC as Passive Income with QFSCOIN Best Free Cloud Mining

rewrite this title As Bitcoin Price Soars, How Global Crypto Investors Can Earn BTC as Passive Income with QFSCOIN Best Free Cloud Mining

June 2, 2025
rewrite this title Michael Saylor’s Strategy Makes Smallest Bitcoin Buy in 10 Weeks – Decrypt

rewrite this title Michael Saylor’s Strategy Makes Smallest Bitcoin Buy in 10 Weeks – Decrypt

June 2, 2025
rewrite this title Strategy and Metaplanet capitalize on Bitcoin correction with 0M acquisition

rewrite this title Strategy and Metaplanet capitalize on Bitcoin correction with $200M acquisition

June 2, 2025
You’re Not Bankrupt, You Just Don’t Have A Plan

You’re Not Bankrupt, You Just Don’t Have A Plan

June 2, 2025
rewrite this title Ethereum outperforms with 1 million inflow as Bitcoin, XRP sees combined outflow of over  million

rewrite this title Ethereum outperforms with $321 million inflow as Bitcoin, XRP sees combined outflow of over $36 million

June 2, 2025
rewrite this title How Many Carbs Should You Have Daily To Lose Weight?

rewrite this title How Many Carbs Should You Have Daily To Lose Weight?

June 2, 2025
DeFi Daily

Stay updated with DeFi Daily, your trusted source for the latest news, insights, and analysis in finance and cryptocurrency. Explore breaking news, expert analysis, market data, and educational resources to navigate the world of decentralized finance.

  • About Us
  • Blogs
  • DeFi-IRA | Learn More.
  • Advertise with Us
  • Disclaimer
  • Privacy Policy
  • DMCA
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact us

Copyright © 2024 Defi Daily.
Defi Daily is not responsible for the content of external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Cryptocurrency
    • Bitcoin
    • Ethereum
    • Altcoins
    • DeFi-IRA
  • DeFi
    • NFT
    • Metaverse
    • Web 3
  • Finance
    • Business Finance
    • Personal Finance
  • Markets
    • Crypto Market
    • Stock Market
    • Analysis
  • Other News
    • World & US
    • Politics
    • Entertainment
    • Tech
    • Sports
    • Health
  • Videos

Copyright © 2024 Defi Daily.
Defi Daily is not responsible for the content of external sites.