Mortgage Rates Hold Steady at Yearly Lows

June 24, 2011

Mortgage rates remained mostly flat this week, hovering near yearly lows, Freddie Mac reports in its weekly mortgage market survey.

"Mortgage rates were virtually unchanged this week amid further indications of a soft housing market,” says Frank Nothaft, chief economist at Freddie Mac. The National Association of REALTORS®reported this week that existing-home sales dropped 3.8 percent in May — the fewest sales since November 2010 — while the Commerce Department reported that new-home sales dipped 2.1 percentin May.

Here are the averages for mortgage rates this week:

30-year fixed-rate mortgage: averaged 4.50 percent, which is unchanged from last week’s average. Last year at this time, the 30-year rate mortgage averaged 4.69 percent.

15-year fixed-rate mortgage: averaged 3.69 percent, up slightly from last week’s 3.67 percent average. Last year at this time, the 15-year rate averaged 4.13 percent.

5-year adjustable-rate mortgage: averaged 3.25 percent this week, down from last week’s 3.27 percent average. A year ago at this time, the 5-year ARM averaged 3.84 percent.

1-year adjustable-rate mortgage: averaged 2.99 percent, up from last week’s 2.97 percent. Last year at this time, the 1-year ARM averaged 3.77 percent.

Source: “30-Year Fixed-Rate Mortgage Unchanged at 4.50 Percent,”Freddie Mac (June 23, 2011)