Mortgage Rates Inch Higher

By October 18, 2016Tips, Uncategorized

Freddie Mac’s most recent Primary Mortgage Market Survey shows average fixed-mortgage rates moved higher for the week ending Oct. 8, with average fixed mortgage rates following Treasury yields.

“The 10-year Treasury yield continued its climb, as an increasing number of financial market participants foresee a December rate hike after a series of positive economic data releases,” says Sean Becketti, Freddie Mac’s chief economist. “The 30-year fixed-rate mortgage moved up 5 basis points to 3.47 percent in this week’s survey, the first increase in one month. Even though we’ve seen economic activity pick up, consumer price inflation and implied inflation expectations remain below the Federal Reserve’s 2 percent target.”

Here’s a snapshot of Freddie Mac’s survey findings:

  • The 30-year fixed-rate mortgage averaged 3.47 percent, with an average 0.6 point for the week, up from the previous week when it averaged 3.42 percent. A year ago at this time, the 30-year fixed-rate mortgage averaged 3.82 percent.
  • The 15-year fixed-rate mortgage averaged 2.76 percent, with an average 0.6 point, up from the previous week when it averaged 2.72 percent. A year ago at this time, the 15-year fixed-rate mortgage averaged 3.03 percent.
  • The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.82 percent, with an average 0.4 point, up from the previous week when it averaged 2.80 percent. A year ago, the five-year adjustable-rate mortgage averaged 2.88 percent.