Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS), which shows that average fixed mortgage rates are finishing the year near their all-time historic lows. Averaging 3.95%, the 30-year fixed rate has been at or below 4% for the past nine consecutive weeks. Only twice in 2011 did it average above 5%, Freddie Mac says.
Thirty-year fixed-rate mortgages (FRMs) averaged 3.95%, with an average 0.7 point for the week ending Dec. 29 – up from last week, when it averaged 3.91%. Last year at this time, the 30-year FRM averaged 4.86%. The 15-year FRM this week averaged 3.24%, with an average 0.8 point – up from last week, when it averaged 3.21%. A year ago at this time, the 15-year FRM averaged 4.20%.Â
The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.88% this week, with an average 0.6 point, up from last week, when it averaged 2.85%. A year ago, the five-year ARM averaged 3.77%.
The one-year Treasury-indexed ARM averaged 2.78% this week with an average 0.6 point, up from last week when it averaged 2.77%. At this time last year, the one-year ARM averaged 3.26%.Â Â Â
‘Mortgage rates ended the year hovering near historic lows in an already affordable housing market,’ says Frank Nothaft, vice president and chief economist at Freddie Mac. ‘It's not surprising, then, that over five percent of households in December plan to purchase a home over the next six months, the highest share since May, according to The Conference Board.’