30-Year Fixed Rate Mortgages
Average 30-year fixed rate mortgages dropped this week after several weeks of consecutive increases. According to Freddie Mac’s Primary Mortgage Market Survey (PMMS) for the week ending August 30, 2012, the 30-year fixed-rate mortgage (FRM) averaged 3.59 percent – down from last week when it averaged 3.66 percent. Last year at this time the 30-year FRM averaged 4.22 percent.
15-Year Fixed Rate Mortgages
The 15-year fixed rate mortgage also decreased. The 15-year fixed rate mortgage averaged 2.86 percent for the week – down slightly from 2.89 percent. Last year at this time, the 15-year FRM averaged 3.39 percent.
5-Year Adjustable Rate Mortgages
The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) decreased to 2.78 percent – down from last week when it averaged 2.80 percent. A year ago, the 5-year ARM averaged 2.96 percent.
1-Year Adjustable Rate Mortgages
The one-year Treasury-indexed ARM averaged 2.63 percent, down from last week when it averaged 2.66 percent. Last year at this time, the 1-year ARM averaged 2.89 percent.
Attributed to Frank Nothaft, vice president and chief economist, Freddie Mac:
- “Treasury bond yields fell, allowing mortgage rates to follow, after the release of the July 31st and August 1st minutes of the Federal Reserve’s monetary policy committee. Committee members agreed that economic activity had decelerated more in recent months than they had anticipated at their last meeting in June. Some members even saw room for additional stimulus fairly soon if needed.
- “Nonetheless, the housing market continued to show improvement over the past few months. New home sales rose 3.6 percent in July matching May’s pace as the strongest month since April 2010. Similarly, pending existing home sales also rose in July to its highest rate since April 2010. And, the S&P/Case-Shiller® National Home Price Index rose 1.2 percent between the second quarter of 2011 and 2012, reflecting the first annual increase since the second quarter of 2010.”
Original Source: Freddie Mac Interest rates listed above are national averages as reported by Freddie Mac. Individual interest rates are dependent upon credit approval and may include points. Average mortgage points are also reported in Freddie Mac’s Primary Mortgage Market Survey. Other mortgage financing fees may apply. Contact your lender for detailed information.
Inlanta Mortgage offers Fannie Mae/Freddie Mac agency products, as well as a full suite of jumbo and portfolio programs. The company is fully delegated HUD-FHA including FHA 203K, VA, and USDA approved. Inlanta Mortgage also offers numerous state bond agency programs. Review Inlanta’s mortgage loan programs here.
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