Mortgage Rates Start the Year Off Near Record Lows

January 4, 2013 (Shirley Allen)

Mortgage interest rates started the year where they left off from last year, near their all-time lows, according to Freddie Mac’s Primary Mortgage Market Survey® (PMMS) for the week ending January 3rd, with fixed rates down slightly while adjustable rates were up, though no one category swayed more than one basis point either way.

Fixed Rate Mortgages:

Interest rates on fixed rate mortgages were slightly lower this week with the 30-year fixed rate averaging 3.34 percent with an average of 0.7 points, down slightly from last week’s average of 3.35 percent. It was the 41st consecutive week that mortgage rates have been under four percent. A year ago, the 30-year fixed rate mortgage averaged 3.91 percent.

Average 30-year rates were the lowest in the Western portion of the United States where mortgage rates averaged 3.29 percent while the highest rates were reported in the Southwestern and Northeastern areas of the country where interest rates averaged 3.38 percent.

The 15-year fixed rate mortgage averaged 2.64 percent with an average of 0.7 points, down from an average of 2.65 percent last week. Mortgage rates for the 15-year fixed mortgage have been under three percent for 32 consecutive weeks. At this time last year, the 15-year fixed rate mortgage averaged 3.23 percent.

Adjustable Rate Mortgages:

Interest rates for adjustable-rate mortgages were up slightly this week with the 5-year Treasury-indexed hybrid ARM averaging 2.71 percent, with an average of 0.6 points, up from an average of 2.70 percent last week. The 5-year adjustable rate mortgage averaged 2.86 percent a year earlier.

The 1-year Treasury-indexed adjustable rate mortgage averaged 2.57 percent with an average of 0.4 points, up from an average of 2.56 percent the previous week. A year ago, the 1-year adjustable rate mortgage averaged 2.80 percent.

30-Year Fixed Rate Mortgages US NE SE NC SW W
Average 3.34 3.38 3.35 3.30 3.38 3.29
Fees & Points 0.7 0.6 0.7 0.8 0.7 0.7

15-Year Fixed Rate Mortgages US NE SE NC SW W
Average 2.64 2.68 2.65 2.62 2.68 2.61
Fees & Points 0.6 0.5 0.7 0.7 0.6 0.7

5/1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 2.71 2.78 2.70 2.80 2.67 2.61
Fees & Points 0.6 0.6 0.8 0.6 0.7 0.6
Margin 2.75 2.73 2.75 2.77 2.76 2.74

1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 2.57 2.59 2.53 2.56 2.53 2.60
Fees & Points 0.4 0.5 0.4 0.7 0.4 0.3
Margin 2.76 2.79 2.75 2.73 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 3.91   3.23   2.86   2.80   3.35   2.65   2.70   2.56  
Fees & Points 0.8   0.8   0.7   0.6   0.7   0.7   0.7   0.5  
Margin N/A N/A 2.74   2.76   N/A N/A 2.74   2.75  

Tags: 15 year fixed, 30 year fixed, fixed rate mortgage, freddie mac, interest rates, mortgage rates, 5-year hybrid, 1-year treasury

Source:
Freddie Mac