Thirty-Year Fixed Rates Increase for the First Time this Year

January 26, 2012 (Shirley Allen)

Interest rates on 30-year fixed mortgages jumped up this week, ending three consecutive weeks of setting new all-time lows, according to Freddie Mac’s Primary Mortgage Market Survey® (PMMS) for the week ending January 26th.

Fixed Rate Mortgages:

Interest rates on fixed rate mortgages moved up this week with the 30-year fixed rate mortgage averaging 3.98 percent with an average of 0.7 points, up from last week’s average of 3.88 percent. Last week’s average rate was the all-time record low for the 30-year fixed mortgage. A year ago, the 30-year fixed rate mortgage averaged 4.80 percent.

It was the 12th consecutive week that 30-year fixed mortgage rates have been four percent or less.

The 15-year fixed rate mortgage averaged 3.24 percent with an average of 0.8 points, up from last week’s average of 3.17 percent. At this time last year, the 15-year fixed rate mortgage averaged 4.09 percent.

Adjustable Rate Mortgages:

Interest rates for adjustable mortgages remained near record lows this week with the 5-year Treasury-indexed hybrid ARM averaging 2.85 percent, up from last week’s average of 2.82 percent, with an average of 0.7 points. Last week’s average rate was the all-time record low for the 5-year ARM and had remained at the rate for the previous two weeks. The 5-year adjustable rate mortgage averaged 3.70 percent a year earlier.

The 1-year Treasury-indexed adjustable rate mortgage remained unchanged from last week’s record low average of 2.74 percent with an average of 0.6 points. A year ago, the 1-year adjustable rate mortgage averaged 3.26 percent.

Frank Nothaft, vice president and chief economist of Freddie Mac, stated, “Fixed mortgage rates ticked up this week as the housing market ended 2011 on a high note. New construction of one-family homes rose 4.4 percent in December to an annualized rate of 470,000, the most since April 2010. Existing home sales increased 5.0 percent at the end of the year to 4.61 million houses, the largest amount since May 2010. Furthermore, pending home sales in November and December averaged the highest reading since the March and April 2010 period.”

30-Year Fixed Rate Mortgages US NE SE NC SW W
Average 3.98 3.99 4.00 4.01 4.05 3.92
Fees & Points 0.7 0.7 0.8 0.6 0.8 0.8

15-Year Fixed Rate Mortgages US NE SE NC SW W
Average 3.24 3.25 3.23 3.24 3.30 3.20
Fees & Points 0.8 0.8 0.9 0.6 0.8 0.8

5/1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 2.85 2.87 2.85 2.98 2.89 2.71
Fees & Points 0.7 0.8 0.7 0.5 0.9 0.7
Margin 2.74 2.74 2.75 2.73 2.76 2.74

1-Year Adjustable Rate Mortgages US NE SE NC SW W
Average 2.74 2.83 2.61 2.93 2.63 2.66
Fees & Points 0.6 0.7 0.6 0.4 0.6 0.5
Margin 2.76 2.79 2.75 2.71 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 4.80   4.09   3.70   3.26   3.88   3.17   2.82   2.74  
Fees & Points 0.7   0.7   0.7   0.6   0.8   0.8   0.7   0.6  
Margin N/A N/A 2.74   2.77   N/A N/A 2.74   2.76  

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