The average long-term US mortgage rate falls to 7.5% in second-straight weekly drop

By ALEX VEIGA
AP Business Writer

LOS ANGELES (AP) — The average rate on the benchmark 30-year home loan fell for the second week in a row, positive news for prospective homebuyers after rates touched a 22-year high just last month. The latest decline brought the average rate on a 30-year mortgage down to 7.5% from 7.76% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 7.08%. High rates can add hundreds of dollars a month in costs for borrowers, limiting how much they can afford in a market already out of reach for many Americans. They also discourage homeowners who locked in rock-bottom rates in recent years from selling.