Facts: The 30-year fixed mortgage rate from Freddie Mac fell further to 6.77% over the last week from 6.89%. At 6.77%, with 20% down, a monthly mortgage payment on a home of $400,000 is $2,080; with 10% down, it is $2,340.

Positive: This is the lowest mortgage rate reported since March 14. This is the biggest weekly drop in basis points since May. This helps home buyers with one part of the housing affordability equation.

Negative: Lower rates are good news for first-time buyers, but may not be enough to move potential sellers who love their low rates. While mortgage applications are up, is it enough to get the housing market out of second gear?

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