The average rate for a 30-year fixed rate mortgage held steady this week at 2.98%, up slightly from 2.97% last week, according to Freddie Mac.
That’s down from 3.23% a year ago.
“In light of the rising COVID caseloads globally, U.S. Treasury yields stopped moving up a month ago and have remained within a narrow range as the market digests incoming economic data,” says Sam Khater, chief economist for Freddie Mac, in a statement. “The good news is that with rates under three percent, refinancing continues to be attractive for many borrowers who financed before 2020.
“But, for eager buyers, especially first-time homebuyers, inventory continues to be extremely tight and competition for available homes to purchase remains high,” Khater adds.
The average rate for a 15-year fixed-rate mortgage was 2.31%, up from 2.29% last week abut down from 2.77% a year ago.
The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 2.64%, down from 2.83% last week and down from 3.14% a year ago.
Photo: David Kristianto