A modest week-over-week drop was reported for fixed rates on residential loans, and an even bigger decline is likely in the next report.

Thirty-year note rates on single-family loans averaged 4.25 percent during July. Mortgage rates dipped 2 basis points from the preceding month.

But last month’s mortgage rates were nowhere near as good as they were in the same month last year, when the average 30-year note rate was 3.87 percent.

Source: Mortgage Daily