U.S. Mortgage Rates on Six Week Streak Higher
Location: McLean
Date: 2013-06-14
Freddie Mac (OTCQB:
FMCC) today released the results of its
Primary Mortgage Market Survey® (PMMS®), showing fixed
mortgage rates climbing higher amid a solid employment report for
May. Since beginning their climb last month, the 30-year fixed-rate
mortgage has increased over half a percentage point. Regardless,
mortgage rates are coming off their all-time record lows, which is
helping to keep homebuyer affordability high.
News Facts
-
30-year fixed-rate mortgage (FRM) averaged 3.98 percent with
an average 0.7 point for the week ending June 13, 2013, up from
last week when it averaged 3.91 percent. Last year at this time,
the 30-year FRM averaged 3.71 percent.
-
15-year FRM this week averaged 3.10 percent with an average
0.7 point, up from last week when it averaged 3.03 percent. A
year ago at this time, the 15-year FRM averaged 2.98 percent.
-
1-year Treasury-indexed ARM averaged 2.58 percent this week
with an average 0.4 point, the same as last week. At this time
last year, the 1-year ARM averaged 2.78 percent.
Average commitment rates should be reported along with average
fees and points to reflect the total upfront cost of obtaining the
mortgage. Visit the following links for the
Regional and National Mortgage Rate Details and
Definitions. Borrowers may still pay closing costs which are not
included in the survey.
Quotes
Attributed to Frank Nothaft, vice president and chief economist,
Freddie Mac.
- "Fixed mortgage rates crept up further this week following a
solid employment
report for May. The economy added 175,000 new jobs and the
number of discouraged workers fell by 780,000 to the fewest
since September 2009. And although the unemployment rate ticked
up to 7.6 percent, it was due to a 420,000 increase in the size
of the labor force; the underemployment rate fell from 13.9 to
13.8 percent in May.
- "With the ongoing run up in fixed mortgage rates,
adjustable-rate mortgages (ARMs) are becoming more popular among
homeowners looking to refinance and for home purchasers. The
30-year fixed mortgage rate this week is 0.6 percentage points
above the recent low set over the week ending May 2nd. In
comparison, the share of conventional mortgage applications for
ARMs rose from 13 percent of dollar volume at the beginning of
May to 17 percent last week, according to the
Mortgage Bankers Association."
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