Mortgage rates dipped slightly this week, as the average rate for a 30-year fixed-rate mortgage fell to 4.85%, down from 4.90%, according to Freddie Mac’s Primary Mortgage Market Survey.
A year ago at this time, the 30-year FRM averaged 3.88%.
Sam Khater, chief economist for Freddie Mac, says the modest decrease ”is a welcome respite from the rapid increase in rates the last few weeks.”
“While the housing market has clearly softened in reaction to the rise in mortgage rates, the economy and consumer sentiment remain very robust and that will sustain purchase demand, particularly in affordable markets and neighborhoods,” Khater says in a statement.
For the week needed Oct. 18, the average rate for a 15-year FRM was 4.26%, down from 4.29%. A year ago at this time, the 15-year FRM averaged 3.19%.
The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 4.10%, up from 4.07%.
A year ago at this time, the five-year ARM averaged 3.17%.
