Not Much Change in US Fixed Rate Mortgage Rates, but ARM Rates are LowerLocation: McLean Freddie Mac (NYSE:FRE) yesterday released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 4.86 percent with an average 0.6 point for the week ending May 14, 2009, up from last week when it averaged 4.84 percent. Last year at this time, the 30-year FRM averaged 6.01 percent. Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 4.82 percent this week, with an average 0.6 point, downfrom last week when it averaged 4.90 percent. A year ago, the 5-year ARM averaged 5.57 percent. One-year Treasury-indexed ARMs averaged 4.71 percent this week with an average 0.6 point, downfrom last week when it averaged 4.78 percent. At this time last year, the 1-year ARM averaged 5.18 percent. (Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.) “Interest rates for fixed-rate mortgages were little changed this week following the release of April’s employment figures,” said Frank Nothaft, Freddie Mac vice president and chief economist. “The economy lost 539,000 jobs, less than the monthly job loss of the past five months, and the unemployment rate rose to 8.9 percent. ARM rates, however, fell slightly over the period. “Relatively low house prices and interest rates are clearly helping first-time homebuyers. Housing affordability for the median first-time buyer reached an all-time record high in the first quarter since the NAR index began in 1981. Consequently, first-time homebuyers accounted for half of existing home sales in the first three months of this year, the NAR reported.” Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation's residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Over the years, Freddie Mac has made home possible for one in six homebuyers and more than five million renters.
PRIMARY MORTGAGE MARKET SURVEY RESULTS 30-YEAR FIXED RATE MORTGAGES
15-YEAR FIXED RATE MORTGAGES
5/1 ADJUSTABLE RATE MORTGAGES (ARMs)
Margin 2.74 2.73 2.75 2.74 2.78 2.73 1-YEAR ADJUSTABLE RATE MORTGAGES (ARMs)
Margin 2.76 2.75 2.75 2.72 2.83 2.75 THE NATIONAL MORTGAGE RATE SNAPSHOT
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. In general, the data presented were calculated from information collected Monday through Wednesday of the same week that the PMMS is released and may not reflect mortgage rates, fees or points currently available from any lender. Freddie Mac may change the methodology used to conduct the PMMS survey at any time and without notice.
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