Industry News

Real estate rates rise on inflation fears

30-year fixed up for third straight week
Published on Jun 1, 2006

Mortgage rates continued higher this week after markets speculated the Federal Reserve may soon raise interest rates to counter inflation, according to surveys conducted by Freddie Mac and Bankrate.com. In Freddie Mac's survey, the 30-year fixed-rate mortgage increased to an average 6.67 percent for the week ended today, up from last week's average of 6.62 percent, and has not been higher since the week ended June 13, 2002, when it averaged 6.71 percent. The average for the 15-year fixed-rate mortgage is 6.26 percent, up from last week's average of 6.23 percent, and has not been higher since the week ended May 24, 2002, when it averaged 6.28 percent. Points, which are fees charged by lenders for loan processing, averaged 0.4 on both the 30- and 15-year loans. The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 6.26 percent this week, with an average 0.5 point, down from last week when it averaged 6.21 percent. The one-year Treasury-indexed ARM averaged ...

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