{"id":11435,"date":"2025-03-09T11:14:52","date_gmt":"2025-03-09T11:14:52","guid":{"rendered":"https:\/\/finderica.com\/?p=11435"},"modified":"2025-03-09T11:14:52","modified_gmt":"2025-03-09T11:14:52","slug":"weekly-mortgage-rates-drop-as-tariffs-rattle-markets","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=11435","title":{"rendered":"Weekly Mortgage Rates Drop as Tariffs Rattle Markets"},"content":{"rendered":"<div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">Mortgage rates experienced what President Trump characterized as a &#8220;big, beautiful drop&#8221; 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 SS by Zillow. A basis point is one one-hundredth of a percentage point. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">There&#8217;s no denying that <\/span><span class=\"_28z5Fp _3-to_p\">mortgage rates<\/span><span class=\"_28z5Fp _3-to_p\"> are lower. In fact, this is the third week running that we&#8217;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&#8217;s been driving down mortgage rates isn&#8217;t good news for the housing market.<\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">Tariffs<\/span><span class=\"_28z5Fp _3-to_p\"> 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. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<div>\n<div>\n<div class=\"_3wlVa6 _2247K8 _3eCw6n\">\n<div class=\"_3wlVa6 _2247K8\">\n<div>\n<div class=\"_2vcpA4 td77J8 PIqV0k _2lZbKL _32aq7f _1r_py0 _33JiRF _2F9T-X _1xbdug\" style=\"flex-direction:column\">\n<div class=\"_1TDqyw\">\n<p><span class=\"_3P4ktl zeCuXk _28z5Fp _1My7YX\" data-currency=\"Text\">Explore mortgages today and get started on your homeownership goals<\/span><\/p>\n<p><span class=\"_21EZtY _2LuWPZ _3_uGsM _28z5Fp N36gAq\" data-currency=\"Text\">Get personalized rates. Your lender matches are just a few questions away.<\/span><\/p>\n<\/div>\n<div class=\"_2vcpA4 PIqV0k wnPEbn _2N11b- _1TDqyw\">\n<div class=\"_1TDqyw\">\n<div class=\"_2w4PM3\">\n<div data-currency=\"Columns\" class=\"_2DPHJa _2TtTbq _2HM5Cl _3UifXY\">\n<div data-currency=\"Column\" class=\"_12cv4d qVG6Ts\"><label class=\"_2lZ2l6\" for=\"nw-aria-ssr-4-3-1-1-3\"><span class=\"TS4Kq- _28z5Fp vRhsJJ _2lZ2l6\">What&#8217;s your property type?<\/span><\/p>\n<div class=\"_1IaSjl emgdYA _1udEV5\"><select class=\"_18mj-v _30anQr _1udEV5 g2zh3L\" data-currency=\"Select\" id=\"nw-aria-ssr-4-3-1-1-3\" placeholder=\"Select your option\"><option value=\"\" disabled>Select your option<\/option><option selected value=\"house\">Single family home<\/option><option value=\"townhome\">Townhouse<\/option><option value=\"condo\">Condo<\/option><option value=\"multi-family\">Multi-family home<\/option><\/select><svg viewbox=\"0 0 24 24\" aria-hidden=\"true\" class=\"_3qh7ju _2ulGkX\" fill=\"currentcolor\" focusable=\"false\"><path d=\"M5.942 8h12.116c.838 0 1.257 1.02.664 1.618l-6.056 6.104a.939.939 0 01-1.332 0L5.278 9.619C4.685 9.02 5.104 8 5.942 8z\"><\/path><\/svg><\/div>\n<p><\/label><\/div>\n<div data-currency=\"Column\" class=\"_12cv4d qVG6Ts\"><label class=\"_2lZ2l6\" for=\"nw-aria-ssr-4-3-1-1-4\"><span class=\"TS4Kq- _28z5Fp vRhsJJ _2lZ2l6\">How do you plan to use this property?<\/span><\/p>\n<div class=\"_1IaSjl emgdYA _1udEV5\"><select class=\"_18mj-v _30anQr _1udEV5 g2zh3L\" data-currency=\"Select\" id=\"nw-aria-ssr-4-3-1-1-4\" placeholder=\"Select your option\"><option value=\"\">Select your option<\/option><option selected value=\"primary\">Primary residence<\/option><option value=\"secondary\">Secondary residence<\/option><option value=\"investment\">Investment property<\/option><\/select><svg viewbox=\"0 0 24 24\" aria-hidden=\"true\" class=\"_3qh7ju _2ulGkX\" fill=\"currentcolor\" focusable=\"false\"><path d=\"M5.942 8h12.116c.838 0 1.257 1.02.664 1.618l-6.056 6.104a.939.939 0 01-1.332 0L5.278 9.619C4.685 9.02 5.104 8 5.942 8z\"><\/path><\/svg><\/div>\n<p><\/label><\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"_2w4PM3 _1TDqyw\"><button class=\"_3vZlz- _1egj3W IArdyX\" data-currency=\"Button\" type=\"button\"><\/p>\n<p><span class=\"_21EZtY _3VmbAf _8DgC29 _28z5Fp -Ibb7f\">Get Started<\/span><\/p>\n<p><\/button><\/p>\n<div class=\"PIqV0k _2HzeZ8 _28CJ7N\" style=\"width:200px\">\n<div style=\"width:200px\">\n<div class=\"_2vcpA4 _1jMsGa _3kfJwJ PIqV0k _2HzeZ8 _1TsDzX _2lZFUT _2molg9 sKjrZ8\" style=\"width:200px;gap:4px\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"16\" height=\"16\" viewbox=\"0 0 16 16\" fill=\"none\"><path d=\"M8 0.666504L2 3.33317V7.33317C2 11.0332 4.56 14.4932 8 15.3332C11.44 14.4932 14 11.0332 14 7.33317V3.33317L8 0.666504ZM6.66667 11.3332L4 8.6665L4.94 7.7265L6.66667 9.4465L11.06 5.05317L12 5.99984L6.66667 11.3332Z\" fill=\"#006642\"><\/path><\/svg><span class=\"_2KctVY _28z5Fp\" style=\"font-size:11px;letter-spacing:0.055px\">Won\u2019t affect your credit score<\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<h2 class=\"_3P4ktl zeCuXk _28z5Fp _2w4PM3 _1My7YX\" data-currency=\"Text\" id=\"why-mortgage-rates-fell\"><span class=\"_3P4ktl zeCuXk _28z5Fp _3-to_p\">Why mortgage rates fell<\/span><\/h2>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">These policy changes rippled out to mortgage rates as markets grappled with fears of a <\/span><span class=\"_28z5Fp _3-to_p\">trade war<\/span><span class=\"_28z5Fp _3-to_p\">. 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&#8217; prices are likely to rise.  <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">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 <\/span><span class=\"_28z5Fp _3-to_p\">bonds<\/span><span class=\"_28z5Fp _3-to_p\"> \u2014 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. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">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&#8217;re made of long-term loans, MBS work a lot like bonds and attract the same buyers. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">When there&#8217;s a robust market for bonds, there are usually plenty of buyers for MBS, too. It&#8217;s an environment that&#8217;s highly supportive of lower mortgage interest rates, and that&#8217;s very much what we saw this week. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">In the short term, we&#8217;re seeing lower mortgage rates as a downstream effect of Trump&#8217;s tariffs \u2014 though rattled markets and <\/span><span class=\"_28z5Fp _3-to_p\">higher grocery bills<\/span><span class=\"_28z5Fp _3-to_p\"> 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.<\/span><\/p>\n<\/div>\n<h2 class=\"_3P4ktl zeCuXk _28z5Fp _2w4PM3 _1My7YX\" data-currency=\"Text\" id=\"why-home-prices-could-rise\"><span class=\"_3P4ktl zeCuXk _28z5Fp _3-to_p\">Why home prices could rise<\/span><\/h2>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">Tariff news has been met with considerable alarm by home builders. Canada is the United States&#8217; 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. <\/span><\/p>\n<\/div>\n<div class=\"_3VJt4n\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">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. <\/span><\/p>\n<\/div>\n<div class=\"_3wlVa6 _2247K8\">\n<p class=\"_28z5Fp _3-to_p\"><span class=\"_28z5Fp _3-to_p\">Sure, not everyone&#8217;s in the market for a <\/span><span class=\"_28z5Fp _3-to_p\">new construction home<\/span><span class=\"_28z5Fp _3-to_p\">. 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.<\/span><\/p>\n<\/div>\n<\/div>\n<p><a href=\"https:\/\/www.nerdwallet.com\/article\/mortgages\/weekly-mortgage-rates-3-6-25\" target=\"_blank\" rel=\"noopener\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Mortgage rates experienced what President Trump characterized as a &#8220;big, beautiful drop&#8221; 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 SS by Zillow. A basis point is one one-hundredth of a percentage<\/p>\n","protected":false},"author":1,"featured_media":11436,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[195],"tags":[891,175,417,261,4697,178,62],"class_list":{"0":"post-11435","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-drop","9":"tag-markets","10":"tag-mortgage","11":"tag-rates","12":"tag-rattle","13":"tag-tariffs","14":"tag-weekly"},"_links":{"self":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/11435","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11435"}],"version-history":[{"count":0,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/11435\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/media\/11436"}],"wp:attachment":[{"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11435"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=11435"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=11435"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}