Mortgage rates hit new lows - KWWL - Eastern Iowa Breaking News, Weather, Closings

Mortgage rates hit new lows

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WASHINGTON, D.C. (KWWL) -

Mortgage loan rates are touching new 60-year lows, but many consumers won't be able to take advantage of them.

The lower rates will likely spur some homeowners to refinance.  But mortgage standards remain so tight that many people won't qualify for a loan if they want to buy a house.

Disappointing economic growth helped drive fixed 30-year mortgages down to an average of 3.84 percent this week.  The previous record low of was 3.87 percent. 

Low rates are traditionally good for housing demand.  But right now, there are also signs of slowing economic growth, which isn't good for consumer confidence or housing demand.

The housing market has been showing signs of improvement.   The National Association of Realtors says existing home sales climbed just more than five percent last month. 

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