Mortgage interest rates in the United States fell for a fourth straight week, hitting the lowest point for this year.

The average for 30-year loans was 6.87%, down from 6.89% last week, Freddie Mac said in a statement. A year ago at this time, the 30-year fixed-rate mortgage averaged 6.77%. The 15-year rate, popular with refinancers, averaged 6.09%, up from 6.05% last week. A year ago, the 15-year rate averaged 6.12%.

Even with the streak of declines, borrowing costs remain stuck near 7%, pushing many would-be homebuyers to the sidelines and keeping a lid on transactions. Prices also are still rising in many areas of the country, including metro Detroit. But the recent stability in rates may offer a boost to the market, according to Sam Khater, Freddie Mac’s chief economist.

“Purchase demand is stronger than this time last year,” Khater said in the statement. “This is an indication that a thaw in buyer activity could be on the horizon.”

A measure of consumer prices rose last month by the most since August 2023, bolstering the case for the Federal Reserve to hold off on further interest-rate reductions for the time being. While substantial progress has been made in the fight against inflation, “we’re not quite there yet,” Chair Jerome Powell said in testimony to Congress on Wednesday.

“Prospective homebuyers should not expect much relief from high mortgage rates in the near future,” said Joel Berner, senior economist for Realtor.com. “The days of sub-4% mortgage rates are over, and if inflation continues to resist being stamped out, they may not be back for a long time.”