Industry News

‘Market concerns’ take mortgage rates lower

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Worries over slower economic growth helped push mortgage rates lower this week, Freddie Mac reported today in its latest survey. According to Freddie Mac, the 30-year fixed-rate mortgage sank to an average 6.33 percent from last week's 6.4 percent, and the 15-year fixed rate dropped to an average 5.99 percent from 6.08 percent. Points, which are fees lenders charge for loan processing expressed as a percent of the loan, averaged 0.5 and 0.6, respectively, on the 30- and 15-year loans. Average rates on adjustable-rate mortgages (ARMs) also declined this week, with the five-year Treasury-indexed hybrid ARM falling to an average 6.03 percent from 6.11 percent and the one-year Treasury-indexed ARM sinking to an average 5.66 percent from 5.76 percent. Points on the five-year and one-year loans averaged 0.5 and 0.6, respectively. "Market concerns about slower economic growth over the next few months allowed mortgage rates to drift lower from last week," Frank Nothaft, Freddie Mac vice presid...