Mortgage Rates Today, Tuesday, Dec. 20: Down Again; Homeownership Drops Sharply for Millennials, Blacks

Mortgage Rates, Mortgages
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Thirty-year and 15-year fixed rates continued their downward slide, while 5/1 ARM rates jumped slightly Tuesday, according to a NerdWallet survey of mortgage rates published by national lenders this morning.


Mortgage Rates Today,
Tuesday, Dec. 20

(Change from 12/19)
30-year fixed: 4.51% APR (-0.01)
15-year fixed: 3.90% APR (-0.02)
5/1 ARM: 3.92% APR (+0.02)

Pew Research: Homeownership drops sharply for millennials and blacks

The housing market has come a long way from the Great Recession, but the recovery is leaving certain groups behind.

A Pew Research Center analysis of U.S. Census Bureau and mortgage loan data indicates that the decline in homeownership — from its peak of 69% in 2004 to 63.5% of households that own their own homes as of the third quarter of this year — has been sharpest among young adults, blacks and lower-income households.

For households headed by an adult younger than 35, the percentage owning a home was down 18% between 2004 and 2016, according to the Pew Research report; for black households, the drop was 16%. By contrast, the percentage decrease for non-Hispanic white households was 5% over the same time period. For all groups combined, homeownership fell by 8%, according to the report.

>> MORE: How to navigate the mortgage loan closing process

Although foreclosures have receded since the housing downturn, Pew Research reports that the reason homeownership rates across the board keep trending downward is because fewer households are able to make the leap from renting to homeownership.

With tightened lending restrictions, a lack of housing inventory in many markets and surging home prices, renters, especially those who have lower incomes, are finding it harder to save up for a down payment and buy a home.

Homeowners looking to lower their mortgage rate can shop for refinance lenders here.

NerdWallet daily mortgage rates are an average of the published APR with the lowest points for each loan term offered by a sampling of major national lenders. Annual percentage rate quotes reflect an interest rate plus points, fees and other expenses, providing the most accurate view of the costs a borrower might pay.

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Deborah Kearns is a staff writer at NerdWallet, a personal finance website. Email: dkearns@nerdwallet.com. Twitter: @debbie_kearns.