Industry News

Consumer confidence takes toll on mortgage rates

Economic growth expected to moderate, Freddie Mac says

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Mortgage rates fell for the sixth consecutive week as a cooling real estate market and weak consumer confidence eliminated inflation concerns, Freddie Mac reported in its weekly mortgage survey. Freddie Mac said that the 30-year fixed-rate mortgage sank to an average 6.44 percent this week, down from last week's average of 6.48 percent, and is at its lowest since April 6, 2006, when it averaged 6.43 percent. The average for the 15-year fixed-rate mortgage also dipped from last week, falling from 6.18 percent to 6.14 percent, and is now at its lowest since the week ending April 6, when it was 6.1 percent. Points, which are fees charged by lenders for loan processing expressed as a percent of the loan, averaged 0.4 on the 30- and 15-year loans. The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) fell to 6.11 percent this week, with an average 0.5 point, down from last week's rate of 6.14 percent. This is the lowest the five-year ARM has been since March 30, 2006, when ...