Mortgage rates fall to their lowest since April 2023. Here's where rates could head next.

The Federal Reserve won't make its next rate decision until September 18, but homebuyers are already getting a break on borrowing costs, with the average rate for a 30-year fixed mortgage now at its lowest point since April 2023. 

The average rate on the most commonly used home loan dipped to 6.44% for the week ended August 23, the Mortgage Bankers Association said on Wednesday. 

With rates declining, more home hunters are applying for mortgages, the MBA said. Cheaper borrowing costs could lure some would-be buyers back into the market after many were priced out by the double whammy of high borrowing costs — mortgage rates sat above 7% earlier this year — and record-high home prices.