Mortgage Rates Fell This Week as States Began to Reopen


After ticking up slightly the previous two weeks, mortgage rates fell during the week ended May 21, with the average rate for a 30-year fixed-rate mortgage dropping to 3.24%, according to Freddie Mac’s Primary Mortgage Market Survey.

That’s down from 3.30% the previous week and down from 4.06% a year ago.

“For the fourth consecutive week, the 30-year fixed-rate mortgage has been below 3.30 percent, giving potential buyers a good reason to continue shopping even amid the pandemic,” says Sam Khater, chief economist for Freddie Mac, in a statement. “As states reopen, we’re seeing purchase demand improve remarkably fast, now essentially flat relative to a year ago. Going forward, mortgage rates have room to decline as mortgage spreads remain elevated.”

The average rate for a 15-year fixed-rate mortgage was 2.70%, down from 2.72% the previous week and down from 3.51% a year ago.

The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 3.17%, down slightly from 3.18% the previous week, and down from 3.68% a year ago.

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