Freddie Mac: Mortgage Rates Fell Despite Recent Fed Hike

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Mortgage rates dipped slightly this week, with the average rate for a 30-year, fixed-rate mortgage (FRM) falling to 4.23%, down from 4.30% the previous week, according to Freddie Mac’s Primary Mortgage Market Survey.

A year ago at this time, the 30-year FRM averaged 3.71%.

The average rate for a 15-year FRM was 3.44%, down from 3.50%. A year ago at this time, the 15-year FRM averaged 2.96%.

The average rate for a five-year, Treasury-indexed, hybrid adjustable-rate mortgage (ARM) was 3.24%, down from 3.28%. A year ago, the five-year ARM averaged 2.89%.

“The 10-year Treasury yield fell about 10 basis points this week,” says Sean Becketti, chief economist for Freddie Mac, in a release. “The 30-year mortgage rate moved with Treasury yields and dropped seven basis points to 4.23 percent. This marks the greatest week-over-week decline for the 30-year mortgage rate in over two months – a stark contrast from last week’s jump following the FOMC announcement.”

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