N
ew LendingTree data shows Massachusetts borrowers experienced the second‑largest decline in monthly mortgage payments nationwide from July 2024 to July 2025, only behind Washington, D.C. The average APR for a 30‑year fixed loan fell from 7.31 % to 6.59 %, cutting the typical monthly payment by about $210 and yielding roughly $76,000 in savings over the life of the loan. Analysts say such reductions can tip the balance for buyers in the state’s expensive market.

    The drop follows a series of Fed rate cuts that began last fall; nationally, mortgage rates fell about 0.5 percentage point over the past year, saving borrowers more than $40,000 on average.

    Despite the easing, inventory remains tight. Many homeowners are locked into pandemic‑era rates below 4 %, making it hard to sell and refinance. The Greater Boston Association of Realtors reports that the median price for a single‑family home in the region fell to $935,000 in August—3.1 % lower than July and the first time the median sale price dipped below the original listing price. Prices are still 2 % above last year’s level. Single‑family inventory rose 17 % from last August, and condo listings jumped 24 % year‑over‑year, signaling a modest rebound.

    With 30‑year fixed rates slipping to 6.35 % in mid‑September—the lowest since October 2024—buyers who are prepared may find more opportunities. The trend could keep the market active longer than usual.