US Mortgage Rates Slide Again
Location: McLean
Author:
Eileen Fitzpatrick
Date: Friday, August 31, 2007
Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 6.35 percent this week, with an average 0.6 point, up slightly from last week when it averaged 6.34 percent. A year ago, the 5-year ARM averaged 6.11 percent.
One-year Treasury-indexed ARMs averaged 5.84 percent this week with an average 0.8 point, up from last week when it averaged 5.60 percent. At this time last year, the 1-year ARM averaged 5.59 percent. (Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.)
“Interest rates on conforming long-term fixed-rate mortgages declined slightly, while rates on one-year adjustable rate mortgages increased by about a quarter of a percent,” said Frank Nothaft, Freddie Mac vice president and chief economist. “The increase in ARM rates is consistent with movement of the yields on short-term Treasury securities, which have exhibited higher volatility recently due to market uncertainties.
“In other news, new home sales defied consensus expectations and rose in July to 870 thousand units, led by a 22 percent increase in the Western region. Existing home sales fell, however, though by less than the market had forecasted, to 5.75 million units, with the decline limited to the Midwest region.”
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SUMMARY OF SURVEY RESULTS |
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Fixed-Rate Mortgages |
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| Average Conventional 30-Year Commitment Rate | Fees & Points | Average Conventional 15-Year Commitment Rate | Fees & Points | |
| US | 6.45 | 0.5 | 6.12 | 0.5 |
| Northeast | 6.49 | 0.2 | 6.17 | 0.2 |
| Southeast | 6.41 | 0.6 | 6.08 | 0.6 |
| North Central | 6.49 | 0.3 | 6.15 | 0.4 |
| Southwest | 6.48 | 0.3 | 6.17 | 0.4 |
| West | 6.40 | 0.7 | 6.06 | 0.8 |
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Adjustable–Rate Mortgages |
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| 5/1 ARM Commitment Rate | Fees & Points |
Margin |
1 Year ARM Commitment Rate | Fees & Points | Margin | |
| US | 6.35 | 0.6 | 2.76 | 5.84 | 0.8 | 2.76 |
| Northeast | 6.32 | 0.4 | 2.76 | 5.89 | 0.8 | 2.76 |
| Southeast | 6.38 | 0.7 | 2.76 | 5.92 | 0.9 | 2.78 |
| North Central | 6.46 | 0.5 | 2.77 | 5.86 | 0.9 | 2.79 |
| Southwest | 6.36 | 0.6 | 2.78 | 6.02 | 0.6 | 2.83 |
| West | 6.30 | 0.7 | 2.73 | 5.68 | 0.8 | 2.72 |
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Freddie Mac Region |
PMMS Weights |
|
Northeast |
24.5 |
|
Southeast |
18.6 |
|
North Central |
15.4 |
|
Southwest |
10.4 |
|
West |
31.0 |
PRIMARY MORTGAGE MARKET SURVEY RESULTS
30-YEAR FIXED RATE MORTGAGES
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|
US |
NE |
SE |
NC |
SW |
W |
|
| AVERAGE |
6.45 |
6.49 |
6.41 |
6.49 |
6.48 |
6.40 |
| Fees & Points |
0.5 |
0.2 |
0.6 |
0.3 |
0.3 |
0.7 |
15-YEAR FIXED RATE MORTGAGES
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|
US |
NE |
SE |
NC |
SW |
W |
|
| AVERAGE |
6.12 |
6.17 |
6.08 |
6.15 |
6.17 |
6.06 |
| Fees & Points |
0.5 |
0.2 |
0.6 |
0.4 |
0.4 |
0.8 |
5/1 ADJUSTABLE RATE MORTGAGES (ARMs)
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|
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|
US |
NE |
SE |
NC |
SW |
W |
|
| AVERAGE |
6.35 |
6.32 |
6.38 |
6.46 |
6.36 |
6.30 |
| Fees & Points |
0.6 |
0.4 |
0.7 |
0.5 |
0.6 |
0.7 |
1-YEAR ADJUSTABLE RATE MORTGAGES (ARMs)
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|
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|
US |
NE |
SE |
NC |
SW |
W |
|
| AVERAGE |
5.84 |
5.89 |
5.92 |
5.86 |
6.02 |
5.68 |
| Fees & Points |
0.8 |
0.8 |
0.9 |
0.9 |
0.6 |
0.8 |
THE NATIONAL MORTGAGE RATE SNAPSHOT
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|
One Year Ago | |||
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|
30-YR FRM |
15-YR FRM |
5/1 ARM |
1-YR ARM |
| AVERAGE |
6.44 |
6.14 |
6.11 |
5.59 |
| Fees & Points |
0.4 |
0.4 |
0.5 |
0.7 |
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|
One Week Ago | |||
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|
30-YR FRM |
15-YR FRM |
5/1 ARM |
1-YR ARM |
| AVERAGE |
6.52 |
6.18 |
6.34 |
5.60 |
| Fees & Points |
0.4 |
0.5 |
0.6 |
0.6 |
Freddie Mac's Primary Mortgage Market Survey (PMMS) is for informational purposes only and Freddie Mac is not responsible for business decisions made based on the reported results of the PMMS. Freddie Mac may change the methodology used to conduct the PMMS survey at any time and without notice.
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