The average rate on 30-year fixed home loans registered 6.74% for the week ending July 24, barely down from 6.75% last week.

A rise in mortgage interest rates has led to a decline in people applying for home loans and homeowners refinancing.

Comments by Bill Pulte, director of the agency that oversees the mortgage giants, suggest that releasing them from conservatorship isn’t as certain as some investors thought.

According to data from Freddie Mac, the average rate on a 30-year fixed mortgage was 6.74% for the week ending Wednesday, down just a single basis point from 6.75% the week prior. The average 15-year fixed mortgage rate was 5.87%, down five basis points from 5.92% last week.

The average rate on 30-year fixed home loans increased to 6.75% for the week ending July 17, up from 6.72% last week.

Analysts believe a modest drop in mortgage rates could prove to be a "magic bullet" for the U.S. housing market.

With Trump’s tax overhaul now in the rearview mirror, a potential Freddie and Fannie conservatorship release could move up the docket.

Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also eased. The average rate dropped to 5.87% from 5.92% last week. A year ago, it was 6.07%, Freddie Mac said.

Home sales continue to stagnate amid persistent affordability challenges. Mortgage rates in the United States have edged down slightly this week, yet they remain at historically elevated levels that continue to weigh heavily on prospective