Mortgage rates continue to hover at all-time lows, marking the ninth consecutive week that rates have averaged below 3%.

“The tug-of-war between the economic recovery and rising COVID-19 cases has left mortgage rates moving sideways over the last few weeks,” said Sam Khater, Freddie Mac’s chief economist. “Overall, rates continue to be low, with a window of opportunity for those who did not refinance under 3%. From a homebuyer perspective, purchase application demand is improving, but the major obstacle to higher home sales remains very low inventory for consumers to purchase.”

Low mortgage rates likely will remain a strong pull for potential home buyers. A rush to lock in a low rate may continue to propel the housing market. The National Association of REALTORS® predicts the 30-year fixed-rate mortgage to rise, expecting it to average 3.2% from October through December.

Freddie Mac reports the following national averages with mortgage rates for the week ending Aug. 26:

*30-year fixed-rate mortgages: averaged 2.87%, with an average 0.6 point, up slightly from last week’s 2.86% average. A year ago, they averaged 2.91%.

*15-year fixed-rate mortgages: averaged 2.17%, with an average 0.6 point, rising slightly from last week’s 2.16% average. A year ago, they averaged 2.46%.

Source: Freddie Mac and “Instant Reaction: Mortgage Rates, August 26, 2021,” National Association of REALTORS® Economists’ Outlook blog (Aug. 26, 2021