Mortgage rates moved higher for a ninth consecutive week during the week ended Dec. 29, with the average rate for a 30-year, fixed-rate mortgage (FRM) reaching 4.32%, up from 4.30%, according to Freddie Mac’s Primary Mortgage Market Survey.
A year ago at this time, the 30-year FRM averaged 4.01%.
The average rate for a 15-year FRM was 3.55%, up from 3.52% the previous week. A year ago at this time, the 15-year FRM averaged 3.24%.
The average rate for a five-year, Treasury-indexed, hybrid adjustable-rate mortgage (ARM) was 3.30%, down slightly from 3.32% the previous week. A year ago, the five-year ARM averaged 3.08%.
Freddie Mac points out that despite the recent jump in mortgage rates since the election, the annual average for the 30-year FRM was 3.65% in 2016 – the lowest annual average ever recorded in the survey going back to 1971.
“On a short week following the Christmas holiday, the 10-year Treasury yield was relatively unchanged,” says Sean Becketti, chief economist for Freddie Mac, in a release. “The 30-year mortgage rate rose two basis points to 4.32 percent, closing the year with nine consecutive weeks of increases. As mortgage rates continue to increase, home sales and affordability will continue to be a concern for housing in 2017.”