Industry News

Mortgage rates climb this week

Brighter economic news sparks increase, surveys find

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Improvement in the job market and consumer spending helped pushed mortgage rates higher this week, according to surveys conducted by Freddie Mac and Bankrate.com. In Freddie Mac's survey, the 30-year fixed-rate mortgage climbed to an average 6.73 percent from 6.63 percent a week ago, and the 15-year fixed gained from 6.3 percent to 6.39 percent. Points, which are fees lenders charge for loan processing expressed as a percent of the loan, averaged 0.4 on the 30- and 15-year loans. Adjustable-rate mortgage (ARM) costs were mostly higher, with the five-year Treasury-indexed hybrid ARM growing to 6.35 percent from 6.29 percent last week and the one-year ARM holding steady at 5.71 percent. Points on these loans averaged 0.5. Frank Nothaft, Freddie Mac vice president and chief economist, said in a statement that this week's climb in mortgage rates "nearly eliminated the declines made in rates over the previous three weeks. In addition, consumer credit jumped by $12.9 billion in Ma...