Industry News

Housing slowdown takes pressure off mortgage rates

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Mortgage rates dropped this week as markets bet the Fed would soon pause its interest-rate hikes amid modest economic growth and declining home sales, according to surveys conducted by Freddie Mac and Bankrate.com. In Freddie Mac's survey, the 30-year fixed-rate mortgage fell to an average 6.72 percent this week, down from last week's average of 6.8 percent. The average for the 15-year fixed-rate mortgage also dipped from last week, falling from 6.41 percent to 6.34 percent. Points, which are fees charged by lenders for loan processing expressed as a percent of the loan, averaged 0.3 on the 30-year and 0.4 on the 15-year loans. The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 6.35 percent this week, with an average 0.4 point, down from last week when it averaged 6.36 percent. The one-year Treasury-indexed ARM averaged 5.78 percent this week, with an average 0.7 point, down from last week when it averaged 5.8 percent. "Mortgage rates drifted lower this we...