Have questions about buying, selling or renting during COVID-19? Learn more

Zillow Research

Fears of Economic Downturn Dampen Mortgage Rates

Mortgage rates fell this week, as a slew of weak economic data stoked fears of an economic slowdown and pushed investors to safer assets.

Mortgage rates fell this week, as a slew of weak economic data stoked fears of an economic slowdown and pushed investors to safer assets.

After two weeks of consistent increases in mid-September, rates spent the last seven days retreating to their lowest level in nearly a month, bowing to many of the same pressures that have consistently placed downward pressure on them for the better part of this year: Lackluster economic reports that highlighted the risks of continued trade tensions between the U.S. and China. Friday’s disappointing consumer spending release and Tuesday’s report on manufacturing activity (which hit a 10-year low) were the most impactful.

With September’s jobs report due Friday, markets remain on edge, which will likely bring more significant rate swings.

Fears of Economic Downturn Dampen Mortgage Rates