Mortgage Rates Drop Six Weeks Straight

Dated: 02/11/2016

Views: 720

The downward trend in mortgage rates continued for the sixth consecutive week amid ongoing market volatility, the latest results of Freddie Mac’s Primary Mortgage Market Survey found.  


The 30-year fixed-rate mortgage dipped to 3.65% for the week ending Feb. 11, 2016, down from last week when it averaged 3.72%. A year ago, the 30-year FRM averaged 3.69%.  The average 30-year fixed is now hovering just above its 2015 low of 3.59%.


Also dropping, the 15-year FRM this week averaged 2.95%, down from 3.01% last week. In 2015, the 15-year FRM averaged 2.99%. 


The 5-year Treasury-indexed hybrid adjustable-rate mortgage fell to 2.83% this week, a decline from last week’s 2.85%. A year ago, the 5-year ARM averaged 2.97%.


“In a falling rate environment, mortgage rates often adjust more slowly than capital market rates, and the early-2016 flight-to-quality has run true to form,” said Sean Becketti, chief economist with Freddie Mac.


“The 30-year mortgage rate has dropped 36 basis points since the start of the year, while the yield on the 10-year Treasury has dropped 59 basis points over the same period.  If Treasury yields were to hold at current levels, mortgage rates might well sink a little further before stabilizing,” he said.


Click to enlarge

freddie


Source

Blog author image

Mark Ross

For Mark Ross, founder of Ross NW Real Estate and professional real estate broker, real estate has always been the career of choice. During his 25+ years in the industry, Mark has gained experience in....

Latest Blog Posts

5 Red Flags That Could Sink A Home Inspection

You’ve found the perfect house, located right near that cool new shopping area and the best schools. It even has the right number of bathrooms! Swoon. It's time to sign the paperwork and move...

Read More

Why Are More Seniors Holding Onto Mortgage Debt

Study sheds light on factors influencing older homeownersFewer older homeowners are paying off their mortgages in retirement, and some are worried the trend may have a lasting impact on the

Read More

Homebuilder Confidence Holds Its Ground

Although cost causes concern, demand is persistentAlthough homebuilders still fear increasing material costs, homebuilder confidence remained unchanged at 67 in September, according to the National

Read More

Mortgage Rates Hit 6 Week High With Housing Market At A Crossroad

Rates for home loans rose to a six-week high as upbeat economic data and a bulging deficit spurred a yield-lifting bond sell-off and big questions gripped the housing market.The 30-year fixed-rate

Read More