Industry News

Mortgage rates end week higher

Market for prime home loans 'not affected' by subprime woes

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Long-term mortgage rates increased this week, Freddie Mac reported today in its weekly survey. The 30-year fixed-rate mortgage rose to an average 6.62 percent from last week's 6.59 percent, and the 15-year fixed-rate mortgage gained to 6.3 percent from 6.25 percent. Points, which are fees lenders charge for loan processing expressed as a percent of the loan, averaged 0.4 on the 30-year loans and 0.5 on the 15-year loans. Costs on adjustable-rate mortgages (ARMs) also ticked higher, with the five-year Treasury-indexed hybrid ARM up to 6.35 percent from 6.33 percent and the one-year Treasury-indexed ARM growing to 5.67 percent from 5.65 percent. Points on these loans averaged 0.5 and 0.6, respectively. "Interest rates on prime conforming fixed-rate mortgages ticked up a little in the past week, in line with 10-year Treasury rates movements and retracing part of last week's decline," Frank Nothaft, Freddie Mac vice president and chief economist, said in a statement. "Problems ...