Mortgage rates post biggest decline since March

U.S. mortgage rates inched lower this week, backing off from an eight-month high as inflation showed welcome signs of cooling. 

Mortgage buyer Freddie Mac said Thursday that the average rate on the 30-year loan fell to 6.78% from 6.96% the previous week, the first decline since June and the biggest one-week drop since March. 

The rate remains well above the 5.54% recorded just one year ago and the pre-pandemic average of 3.9%.

"As inflation slows, mortgage rates decreased this week," said Sam Khater, Freddie Mac’s chief economist. "Still, the ongoing shortage of previously...