30-Year Mortgage Rate Drops to 6.19%

The average rate on a 30-year U.S. mortgage declined for the second consecutive week, falling to 6.19 percent from 6.23 percent the previous week, according to Freddie Mac's weekly survey released Thursday. The rate, the lowest since October 30 when it hit 6.17 percent, marks the year's low point so far and stands well below the 6.69 percent average from a year earlier.

This latest drop follows three weeks of increases and comes amid broader easing in borrowing costs tied to the Federal Reserve's recent policy moves. The central bank cut its benchmark interest rate in September for the first time in a year, responding to signs of a cooling labor market, and followed with another reduction in October. Policymakers are widely expected to approve a third cut at their next meeting next week. Mortgage rates, while not directly set by the Fed, tend to track the 10-year Treasury yield, which lenders use as a benchmark for pricing home loans. That yield stood at 4.1 percent at midday Thursday, slightly higher than 4 percent the prior week.

Borrowing costs for 15-year fixed-rate mortgages, often chosen by homeowners looking to refinance, also eased this week to 5.44 percent from 5.51...