November Roundup: Rates Are Lowest In More Than Two Years
In Freddie Mac’s results of its Primary Mortgage Market Survey, the 30-year fixed-rate mortgage (FRM) averaged 6.10 percent with an average 0.5 point for the week ending November 29, 2007, down from the previous week when it averaged 6.20 percent. Last year at this time, the 30-year FRM averaged 6.14 percent. The 30-year FRM has not been lower since the week ending October 13, 2005, when it averaged 6.03 percent.
The 15-year FRM averaged 5.73 percent with an average 0.5 point, down from 5.83 percent. A year ago at this time, the 15-year FRM averaged 5.87 percent. The 15-year FRM has not been lower since the week ending January 26, 2006, when it averaged 5.70 percent.
One-year Treasury-indexed ARMs averaged 5.43 percent with an average 0.7 point, up from 5.42 percent. At this time last year, the 1-year ARM averaged 5.46 percent.
‘Interest rates for U.S. Treasury securities have been drifting lower this month over market concerns that the housing slump and stress in the credit markets could slow future economic growth,’ said Frank Nothaft, Freddie Mac vice president and chief economist. ‘As a result, interest rates for fixed-rate mortgages had room to slip lower this week. In addition to these concerns, the Federal Reserve also noted in its November 28th Beige Book that the glut of available homes continued, keeping downward pressure on prices and construction activity.’
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