Mortgage rates dropped this week, but still sit above 7%: Freddie Mac

Mortgage rates have steadily been rising over the last few weeks, but rates have finally started to dip. Rates for 30-year fixed-rate mortgages averaged 7.09% as of May 9th, Freddie Mac reported.

This is a decent drop from last week when rates averaged 7.22%. Last year at this time, 30-year mortgage rates averaged much lower at 6.35%. Mortgages with 15-year terms also saw interest rates drop. Rates fell to 6.38% from 6.47% last week. Compared to last year when rates averaged 5.75%, buyers are settling for much higher rates.