Mortgage rates drop, snapping a 3-week climb Freddie Mac says 30-year fixed rate fell to 6.35% as the Federal Reserve indicates that inflation should

moderate this year.

by Catherine Clifford

Rates on 30-year fixed mortgages fell for the first time in three weeks after the Federal Reserve said last week that it expects inflation to level off, according to mortgage backer Freddie Mac.

Freddie Mac (FRE, Fortune 500) said that 30-year fixed-rate mortgages averaged 6.35% with an average 0.6 point in the week ending Thursday, down from 6.45% last week. Last year at this time, the 30-year loan averaged 6.63%.