Average rate on a 30-year mortgage falls slightly, easing borrowing costs for home shoppers

The average rate on a 30-year mortgage fell slightly this week, providing modest relief for home shoppers facing record-high home prices. The rate fell to 6.89% from 6.95% last week. That's according to a report Thursday from mortgage buyer Freddie Mac. A year ago, it averaged 6.96%. The average rate has mostly hovered around 7% this year — more than double what it was just three years ago. Elevated mortgage rates can add hundreds of dollars a month in costs for borrowers. They have put off many home shoppers this year, extending the nation’s housing slump into its third year.