Mortgage Rates Took Significant Jump

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Mortgage rates jumped across the board this week, with the average rate for a 30-year fixed rate mortgage rising five basis points to 4.47%, up from 4.42% the week prior to reach the highest level since January of 2014, according to Freddie Mac’s Primary Mortgage Market Survey.

A year ago at this time, the 30-year FRM averaged 3.97%.

The average rate for a 15-year FRM was 3.94%, up rom 3.87%. A year ago at this time, the 15-year FRM averaged 3.23%.

The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 3.67%, up from 3.61% A year ago at this time, the five-year ARM averaged 3.10%.

“Treasury yields rose ahead of the release of the Fed’s Beige Book and speeches from New York Fed President William Dudley and Fed Governor Randal Quarles,” says Len Kiefer, deputy chief economist for Freddie Mac, in a release. “According to the Beige Book pdf, economic activity in March and early April continued to expand at a moderate pace, however, there is concern from various industries surrounding tariffs. Following Treasurys, mortgage rates soared.

“It is important to note that the weekly rate we report is an average and the actual rate obtained by a borrower may be different,” Kiefer adds. “In our April Insight pdf, we found that by shopping more than one mortgage lender, consumers are more likely to get a better interest rate and save money in both the short and long term. With lower monthly payments and lower fixed fees, the loan will be more affordable and thus safer, and consumers may keep hundreds or thousands of dollars more in their pocket.”

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