What’s the good news for homebuyers?
Mortgage rates push down
Freddie Mac says that weaker housing data is putting downward pressure on average fixed mortgage rates.
“Mortgage rates fell further this week following the release of weaker housing data. The pending home sales index fell 8.7% in December to its lowest level since October 2011,” said Frank Nothaft, vice president and chief economist, Freddie Mac. “Fixed residential investment negatively contributed to GDP in the fourth quarter for the first time since the third quarter of 2010.”
The 30-year fixed-rate mortgage averaged 4.23% with an average 0.7 point for the week ending Feb. 6, down from last week when it averaged 4.32%. A year ago at this time, the 30-year FRM averaged 3.53%.
The 15-year FRM this week averaged 3.33% with an average 0.7 point, down from last week when it averaged 3.4%. A year ago at this time, the 15-year FRM averaged 2.77%.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.08% this week with an average 0.5 point, down from last week when it averaged 3.12%. A year ago, the 5-year ARM averaged 2.63%.
The 1-year Treasury-indexed ARM averaged 2.51% this week with an average 0.5 point, down from last week when it averaged 2.55%. At this time last year, the 1-year ARM averaged 2.53 percent.