Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners seeking to refinance their loans to a lower rate, also eased.

U.S. mortgage rates dropped to the lowest level in more than 1-1/2 years this week and could fall further after the Federal Reserve cut interest rates for the first time since 2020. The average rate on the popular 30-year fixed-rate mortgage fell to 6.

The decline in mortgage costs, influenced by expectations of the Federal Reserve’s rate moves, could revive interest in buying, selling and remortgaging, economists said.

After sinking to 2-year lows Tuesday, both the 30-year and 15-year mortgage rate averages have edged up a bit. Rate movement for other loan types was mixed.