Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS). The 30-year fixed-rate mortgage (FRM) averaged 2.87% with an average 0.6 point for the week ending August 26, 2021, up slightly from last week when it averaged 2.86%. A year ago at this time, the 30-year FRM averaged 2.91%.
“The tug-of-war between the economic recovery and rising COVID-19 cases has left mortgage rates moving sideways over the last few weeks,” explains Sam Khater, Freddie Mac’s chief economist. “Overall, rates continue to be low, with a window of opportunity for those who did not refinance under three percent. From a homebuyer perspective, purchase application demand is improving, but the major obstacle to higher home sales remains very low inventory for consumers to purchase.”
The 15-year fixed-rate mortgage averaged 2.17% with an average 0.6 point, up slightly last week when it averaged 2.16%. A year ago at this time, the 15-year FRM averaged 2.46%.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.42% with an average 0.2 point, down slightly from last week when it averaged 2.43%. A year ago at this time, the 5-year ARM averaged 2.91%.
The PMMS is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20% down and have excellent credit. Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage.