Mortgage rates fall on weekly basis

But 30-year fixed rate remains even

Mortgage rates largely decreased on a weekly basis, as the recent uphill trend halted for at least a week, according to Freddie Mac’s most recent weekly mortgage report.

Freddie Mac’s Primary Mortgage Market Survey for the week ending February 7, 2013, revealed that mortgage rates fell across all mortgage types. The lone exception was rates for 30-year fixed mortgages, which remained even week-over-week.

“Mortgage rates were either unchanged or lower this week following a mostly positive employment data report for January,” Frank Nothaft, vice president and chief economist at Freddie Mac, said in a statement. “In January, the economy gained 157,000 new jobs and revisions to November and December added another 127,000 workers.”"

Interest rates for 30-year fixed mortgages stayed even on a weekly basis at an average of 3.53 percent, while shorter-term 15-year fixed mortgages fell from 2.81 percent to 2.77 percent in the same time frame.

One year ago at this time, 30-year fixed mortgages averages 3.87 percent and 15-year fixed mortgages averaged 3.16 percent.

In the latest survey, 5-year adjustable-rates mortgages (ARMs) dropped to an average of 2.63 percent from 2.70 percent the previous week, and 1-year ARMs fell to 2.53 percent from 2.59 percent.

One year ago at this time, 5-year ARMs averaged 2.83 percent and 1-year ARMs averaged 2.78 percent.

The persistence of historically low mortgage rates should continue to assist the ongoing housing recovery, Freddie Mac noted, along with other positive economic signs.

Nothaft continued: “[The] annual benchmark update showed payrolls grew by an additional 424,000 jobs between April 2011 and March 2012. The only downside to the report was that the unemployment rate ticked up from 7.8 to 7.9 percent in January, which is still historically high.”

Posted in: Mortgage, Mortgage Rates, Refinance, Refinance Rates

Mortgage News: This article was published on 2-11-2013 at 8:22 am.

View comments