Mortgage rates decreased slightly this week and have continued to remain basically flat during the past several months, Freddie Mac’s Primary Mortgage Market Survey shows.
“This stability in borrowing costs comes despite the highest core inflation rates since 2008 and turbulence in the currency markets,” says Sam Khater, chief economist for Freddie Mac, in a statement. “Unfortunately, this pause in rates is not leading to increasing home sales.”
“Purchase mortgage applications trailed year ago levels again last week, and it’s clear that in some markets the combination of ascending home prices, limited affordable inventory and this year’s higher rates are curtailing homebuyer demand,” he adds.
The average rate for a 30-year fixed-rate mortgage (FRM) the week ended Aug. 16 was 4.53%, down from 4.59% the previous week. A year ago at this time, the 30-year FRM averaged 3.89%.
The average rate for a 15-year FRM was 4.01%, down from 4.05%. A year ago at this time, the 15-year FRM averaged 3.16%.
The averages rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 3.87%, down from 3.90%. A year ago at this time, the five-year ARM averaged 3.16%.