Industry NewsMortgage

Mortgage rates bounce back

Home loans expected to remain affordable in the long term

Mortgage rates were up sharply this week, bouncing back from record lows following the release of a better-than-expected jobs report, Freddie Mac said in releasing the results of its latest Primary Mortgage Market Survey.While forecasters expect rates on 30-year fixed-rate mortgages will stay well below 5 percent through 2012, strong economic growth could trigger a faster rise in long-term interest rates, including mortgages.Freddie Mac said rates on 30-year fixed-rate mortgages averaged 4.12 percent with an average 0.8 point for the week ending Oct. 13, up from 3.94 percent last week, an all-time low in records dating to 1971. At this time last year, the 30-year FRM averaged 4.19 percent before climbing to a 2011 high of 5.05 percent in February.For 15-year fixed-rate mortgages, rates averaged 3.37 percent with an average 0.8 point, up from 3.26 percent last week, a low in records dating to 1991. A year ago, rates on 15-year fixed-rate mortgages averaged 3.62 percent, before climbing ...

Comments