Mortgages rates have dropped to yearly low as the trade war heats up between the US and China. Economic uncertainty has led investors to the relative safe haven of the bond market, where the 10-year yield is at its lowest in 18 months. Fixed-rate mortgages follow the treasury notes.
Mortgage rates fell for the fourth consecutive week. The 30-year fixed-rate mortgage averaged 4.06% this week, according to Freddie Mac. Mortgage rates have dropped significantly November, when rates peaked at around 4.94%. The median home value in the United States is $226,800. United States home values have gone up 6.1% over the past year, according to Zillow.