Mortgage Interest Rates Increase Slightly for Second Week

March 31, 2011 (Shirley Allen)
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Freddie Mac (OTC: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), which shows interest rates increasing slightly with the 30-year fixed sitting at 4.86 percent, up five basis points from the previous week. However, rates still continue to remain lower than at the same time last year and are still historically low.

  • 30-year fixed-rate mortgage (FRM) averaged 4.86 percent with an average 0.7 point for the week ending March 31, 2011, up from last week when it averaged 4.81 percent. Last year at this time, the 30-year FRM averaged 5.08 percent.  
  • 15-year FRM this week averaged 4.09 percent with an average 0.7 point, up from last week when it averaged 4.04 percent. A year ago at this time, the 15-year FRM averaged 4.39 percent.  
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.70 percent this week, with an average 0.7 point, up from last week when it averaged 3.62 percent. A year ago, the 5-year ARM averaged 4.10 percent.
  • 1-year Treasury-indexed ARM averaged 3.26 percent this week with an average 0.6 point, up from last week when it averaged 3.21 percent. At this time last year, the 1-year ARM averaged 4.05 percent.  

Frank Nothaft, vice president and chief economist of Freddie Mac, stated, “Fixed mortgage rates rose slightly for a second week in a row, but continue to remain quite low.  Low rates have benefited from relatively benign inflation reports. Inflation as measured by the 12-month growth in the core price index for consumer spending, a metric preferred by the Federal Reserve, is hovering near the lowest pace since 1960 when this data series began.

And…

“Sales of distressed properties continue to place downward pressure on house prices. In January, these homes accounted for 37 percent of existing home sales and rose to 39 percent in February, based on figures from the National Association of Realtors®. House prices were down 3.1 percent in January from the same month last year according to the S&P/Case-Shiller® Home Price Indices.”

30-Year Fixed Rate Mortgages US NE SE NC SW W
Average 4.86 4.88 4.83 4.88 4.87 4.84
Fees & Points 0.7 0.7 0.9 0.6 0.6 0.8

 

15-Year Fixed Rate Mortgages US NE SE NC SW W
Average 4.09 4.12 4.11 4.07 4.17 4.05
Fees & Points 0.7 0.7 0.9 0.6 0.6 0.8

 

5/1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 3.70 3.88 3.65 3.61 3.69 3.61
Fees & Points 0.7 0.5 0.8 0.5 0.6 0.9
Margin 2.74 2.74 2.75 2.71 2.77 2.73

 

1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 3.26 3.36 3.09 3.59 3.23 3.07
Fees & Points 0.6 0.5 0.7 0.3 0.8 0.7
Margin 2.76 2.79 2.75 2.72 2.77 2.75

 

The National Mortgage Rate Snapshot One Year Ago One Week Ago
  30-YR 15-YR 5/1-YR 1-YR ARM 30-YR 15-YR 5/1-YR 1-YR ARM
Average 5.08   4.39   4.10   4.05   4.81   4.04   3.62   3.21  
Fees & Points 0.7   0.6   0.6   0.6   0.7   0.7   0.6   0.6  
Margin N/A N/A 2.75   2.75   N/A N/A 2.74   2.76  

Tags: 15 year fixed, 30 year fixed, fixed rate mortgage, freddie mac, interest rates, mortgage rates

Sources:
Freddie Mac
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