Mortgage Rates Drop Amid Signs Of Weakening Economic Recovery

0

Amid signs of a weakening economic recovery, average fixed mortgage rates fell for the week ending Jan. 16, according to Freddie Mac's Primary Mortgage Market Survey.

The report shows that the 30-year fixed-rate mortgage (FRM) averaged 4.41%, with an average 0.7 point – down from the week prior, when it averaged 4.51%. A year ago at this time, the 30-year FRM averaged 3.38%.

The 15-year FRM averaged 3.45%, with an average 0.7 point – down from 3.56% from the week before. A year ago at this time, the 15-year FRM averaged 2.66%.

The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.10%, with an average 0.5 point – down from last week, when it averaged 3.15%. A year ago, the five-year ARM averaged 2.67%.

The one-year Treasury-indexed ARM averaged 2.56%, with an average 0.5 point, which is unchanged from the prior week. At this time last year, the one-year ARM averaged 2.57%, showing very little change.

Frank Nothaft, vice president and chief economist for Freddie Mac, comments on the status of the economic recovery:

"The economy added 74,000 jobs in December – less than the market consensus forecast. Retail sales rose 0.2 percent in December, which was nearly half of November's 0.4 percent increase. Meanwhile, the unemployment rate fell to 6.7 percent, which was the lowest since October 2008.’

The entire Primary Mortgage Market Survey can be found here.

Subscribe
Notify of
guest
0 Comments
newest
oldest most voted
Inline Feedbacks
View all comments