Freddie Mac: Rates Hold Steady As Markets Process Fed Minutes

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Fixed mortgage rates remained mostly unchanged for the week ending Nov. 19, as analyst expectation turned from world events to the Federal Open Market Committee's (FOMC) October minutes, according to Freddie Mac's most recent Primary Mortgage Market Survey.

The average rate for a 30-year fixed-rate mortgage (FRM) was 3.97%, down from 3.98% the previous week. A year ago at this time, the 30-year FRM averaged 3.99%.

The average rate for a 15-year FRM was 3.18%, down from 3.20%. A year ago at this time, the 15-year FRM averaged 3.17%.

The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 2.98% this week, down from last week's 3.03%. A year ago, the five-year ARM averaged 3.01%.

The average rate for a one-year Treasury-indexed ARM was 2.64%, down slightly from 2.65% the previous week. At this time last year, the one-year ARM averaged 2.44%.

‘Treasury yields stabilized about five basis points below last week's level as the market shrugged off economic data and world events and turned its attention to the minutes of the October FOMC meeting. In response, the 30-year mortgage rate ticked down a basis point to 3.97 percent,’ says Sean Becketti, chief economist for Freddie Mac. ‘The FOMC minutes were couched in careful Fed-speak, and early market reaction was mixed, with most analysts reading their own expectations into the minutes.’

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