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Are home prices still going up? What’s happening with mortgage rates?
Potential buyers remained reluctant to take the plunge on financing a home purchase even as mortgage rates fell for the fourth straight week. Mortgage applications decreased 2{515baef3fee8ea94d67a98a2b336e0215adf67d225b0e21a4f5c9b13e8fbd502} the week ending Dec. 2 compared to the previous week. And the average loan size for a purchase application was at its lowest level since January 2021. Meanwhile, the average rate for a 30-year fixed mortgage trended down to 6.33{515baef3fee8ea94d67a98a2b336e0215adf67d225b0e21a4f5c9b13e8fbd502} as of Dec. 8, according to the latest data from Freddie Mac. The fixed-rate mortgage has more than doubled from a year earlier when it averaged 3.1{515baef3fee8ea94d67a98a2b336e0215adf67d225b0e21a4f5c9b13e8fbd502}. The pandemic-era housing boom, combined with decades-high inflation and volatile mortgage rates, are forcing prospective homebuyers and homesellers to sit…