October 20, 2015 12:40 am
Mortgage rates remain below 4 percent – a trend that’s stayed virtually unchanged for 12 weeks straight, according to Freddie Mac’s recently released Primary Mortgage Market Survey® (PMMS®). Rates as they stand are:
• 30-year fixed-rate mortgage (FRM) – 3.82 percent (with an average 0.6 point)
• 15-year FRM – 3.03 percent (with an average 0.6 point)
• 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) – 2.88 percent (with an average 0.4 point)
• 1-year Treasury-indexed ARM – 2.54 percent (with an average 0.2 point)
Recent comments by the Federal Reserve suggesting it may not raise short-term interest rates, coupled with weaker-than-expected consumer demand, have pushed Treasury yields lower. This turn of events indicates interest rates may remain lower a while longer.
“As the shock of the September employment report wore off, Treasury rates drifted higher,” explains Sean Becketti, Freddie Mac’s chief economist. “In response, the 30-year mortgage rate climbed six basis points to 3.82 percent, marking 12 consecutive weeks below 4 percent.”
Source: Freddie Mac
Published with permission from RISMedia.