Mortgage rates in the United States fell to the lowest point since early February, helping to ease the housing affordability crunch.

The average for a 30-year, fixed loan was 6.73%, down from 6.78% last week, Freddie Mac said in a statement Thursday. A year ago, the rate averaged 6.9%.

Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also fell this week, pulling the average rate down to 5.99% from 6.07% last week. A year ago, it averaged 6.25%, Freddie Mac said.

The decline in rates from over 7% earlier this year has stoked homebuyer demand after a tough few months for the sales market. In June, contracts to buy previously owned homes —  typically a leading indicator of sales — rose for the first time in three months from near-record lows.

More relief could be on the way. While the Federal Reserve held its benchmark rate steady at its meeting Wednesday, Chair Jerome Powell signaled that the central bank could start cutting rates as soon as September.

The effects of a rate decline on the housing market could be more measured because shoppers are still confronting rising home prices and a slim supply of listings.

“Expectations of a Fed rate cut coupled with signs of cooling inflation bode well for the market, but apprehension in consumer confidence may prevent an immediate uptick as affordability challenges remain top of mind,” Sam Khater, Freddie Mac’s chief economist, said in the statement.

Mortgage rates are influenced by several factors, including how the bond market reacts to the central bank’s interest rate policy decisions. That can move the trajectory of the 10-year Treasury yield, which lenders use as a guide to pricing home loans. If bond yields decline in anticipation of a Fed rate cut, that could lead mortgage rates to ease further.

Most economists expect the average rate on a 30-year home loan to remain above 6% this year.