US Mortgage Rates Drop Slightly
Location: McLean
Author:
Eileen Fitzpatrick
Date: Friday, March 12, 2010
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 4.95 percent with an average 0.7 point for the week ending March 11, 2010, down from last week when it averaged 4.97 percent. Last year at this time, the 30-year FRM averaged 5.03 percent.
The 15-year FRM this week averaged 4.32 percent with an average 0.7 point, down from last week when it averaged 4.33 percent. A year ago at this time, the 15-year FRM averaged 4.64 percent.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.05 percent this week, with an average 0.6 point, down from last week when it averaged 4.11 percent. A year ago, the 5-year ARM averaged 4.99 percent.
The 1-year Treasury-indexed ARM averaged 4.22 percent this week with an average 0.6 point, down from last week when it averaged 4.27 percent. At this time last year, the 1-year ARM averaged 4.80 percent.
(Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.)
“During a light week of mixed economic reports, mortgage rates eased somewhat,” said Frank Nothaft, Freddie Mac vice president and chief economist. “Pending existing home sales fell 7.6 percent in January, well below the market consensus of a 1 percent gain. Meanwhile, the economy lost only 36,000 jobs in February, fewer than market forecasts, and the unemployment rate held steady at 9.7 percent. In addition, revisions added a net 35,000 workers to January and December combined.”
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.
Summary of Survey Results
| Fixed-Rate Mortgages | |||||||
| Average Conventional 30-Year Commitment Rate |
Fees & Points | Average Conventional 15-Year Commitment Rate |
Fees & Points | ||||
| US | 4.95 | 0.7 | 4.32 | 0.7 | |||
| Northeast | 5.00 | 0.6 | 4.38 | 0.6 | |||
| Southeast | 4.94 | 0.7 | 4.30 | 0.7 | |||
| N. Central | 5.01 | 0.5 | 4.35 | 0.6 | |||
| Southwest | 4.88 | 0.6 | 4.27 | 0.7 | |||
| West | 4.91 | 0.9 | 4.27 | 0.8 | |||
| Five/One-Year Adjustable-Rate Mortgages | |||||||
| First Commitment Rate | Fees & Points | Margin | |||||
| US | 4.05 | 0.6 | 2.74 | ||||
| Northeast | 4.32 | 0.5 | 2.73 | ||||
| Southeast | 3.82 | 0.7 | 2.75 | ||||
| N. Central | 4.01 | 0.5 | 2.75 | ||||
| Southwest | 3.91 | 0.8 | 2.75 | ||||
| West | 4.04 | 0.7 | 2.74 | ||||
| One-Year Adjustable-Rate Mortgages | |||||||
| First Commitment Rate | Fees & Points | Margin | |||||
| US | 4.22 | 0.6 | 2.75 | ||||
| Northeast | 3.99 | 0.4 | 2.71 | ||||
| Southeast | 4.00 | 0.8 | 2.75 | ||||
| N. Central | 4.33 | 0.3 | 2.75 | ||||
| Southwest | 4.50 | 0.4 | 2.83 | ||||
| West | 4.39 | 0.8 | 2.75 | ||||
| Freddie Mac Region | PMMS Weights | ||||||
| Northeast | 26.0 | ||||||
| Southeast | 16.7 | ||||||
| North Central | 15.9 | ||||||
| Southwest | 13.2 | ||||||
| West | 28.2 | ||||||
Primary Mortgage Market Survey Results
March 11, 2010
| 30-Year Fixed Rate Mortgages | |||||||||||||
| US | NE | SE | NC | SW | W | ||||||||
| Average | 4.95 | 5.00 | 4.94 | 5.01 | 4.88 | 4.91 | |||||||
| Fees & Points | 0.7 | 0.6 | 0.7 | 0.5 | 0.6 | 0.9 | |||||||
| 15-Year Fixed Rate Mortgages | |||||||||||||
| US | NE | SE | NC | SW | W | ||||||||
| Average | 4.32 | 4.38 | 4.30 | 4.35 | 4.27 | 4.27 | |||||||
| Fees & Points | 0.7 | 0.6 | 0.7 | 0.6 | 0.7 | 0.8 | |||||||
| 5/1-Year Adjustable Rate Mortgages | |||||||||||||
| US | NE | SE | NC | SW | W | ||||||||
| Average | 4.05 | 4.32 | 3.82 | 4.01 | 3.91 | 4.04 | |||||||
| Fees & Points | 0.6 | 0.5 | 0.7 | 0.5 | 0.8 | 0.7 | |||||||
| Margin | 2.74 | 2.73 | 2.75 | 2.75 | 2.75 | 2.74 | |||||||
| 1-Year Adjustable Rate Mortgages | |||||||||||||
| US | NE | SE | NC | SW | W | ||||||||
| Average | 4.22 | 3.99 | 4.00 | 4.33 | 4.50 | 4.39 | |||||||
| Fees & Points | 0.6 | 0.4 | 0.8 | 0.3 | 0.4 | 0.8 | |||||||
| Margin | 2.75 | 2.71 | 2.75 | 2.75 | 2.83 | 2.75 | |||||||
| The National Mortgage Rate Snapshot | |||||||||||||
| One Year Ago | One Week Ago | ||||||||||||
| 30-YR | 15-YR | 5/1-YR | 1-YR ARM | 30-YR | 15-YR | 5/1-YR | 1-YR ARM | ||||||
| Average | 5.03 | 4.64 | 4.99 | 4.80 | 4.97 | 4.33 | 4.11 | 4.27 | |||||
| Fees & Points | 0.7 | 0.7 | 0.6 | 0.5 | 0.7 | 0.7 | 0.6 | 0.6 | |||||
| Margin | N/A | N/A | 2.70 | 2.75 | N/A | N/A | 2.74 | 2.75 | |||||
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 at any time and without notice.
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