Freddie Mac: Mortgage Interest Rates Little Changed From Last Week

June 16, 2011 (Shirley Allen)

Mortgage interest rates remained virtually unchanged from last week as both fixed rate and adjustable rate mortgages were mixed according to Freddie Mac’s Primary Mortgage Market Survey® (PMMS).

Fixed Rate Mortgages (FRM):

Thirty year and the 15 year FRMs barely budged from the previous week with the 30 year FRM reaching an average of 4.50 percent with an average 0.7 points, up from an average of 4.49 percent last week and down from 4.75 percent a year earlier.

The 15 year FRM averaged 3.67 this week with an average 0.7 points, down from an average of 3.68 last week and down from 4.20 percent a year ago

Adjustable Rate Mortgages (ARM):

ARMs were also mixed and barely moved in the last week as the 5-year Treasury-indexed hybrid ARM slid to 3.27 percent, which is down from 3.28 percent the previous week, with an average of 0.6 points. The 5 year ARM averaged 3.89 percent a year earlier.

The 1-year Treasury-indexed ARM increased this week to 2.97 percent, with an average of 0.5 points, from 2.95 percent the previous week. A year ago, the 1 year ARM averaged 3.82 percent.

Frank Nothaft, vice president and chief economist of Freddie Mac, stated, "Mortgage rates were little changed this week as financial market participants shrugged off the recent inflation reports. The core producer price index rose just 0.2 percent in May while the core consumer price index increased 0.3 percent, both near the market consensus forecast.”

"Much of the run down in home mortgage debt so far has been through second mortgages, according to the Federal Reserve Board. Household mortgage balances fell by more than $930 billion between the peak set at the end of March 2008 and March of this year, of which, second mortgages accounted for $820 billion of the decline," Nothaft added.

30-Year Fixed Rate Mortgages	US	NE	SE	NC	SW	W
Average	4.50	4.52	4.53	4.52	4.53	4.46
Fees & Points	0.7	0.7	0.9	0.7	0.6	0.8

15-Year Fixed Rate Mortgages	US	NE	SE	NC	SW	W
Average	3.67	3.66	3.68	3.68	3.74	3.63
Fees & Points	0.7	0.7	0.8	0.6	0.6	0.8

5/1-Year Adjustable Rate Mortgages	US	NE	SE	NC	SW	W
Average	3.27	3.38	3.18	3.39	3.32	3.11
Fees & Points	0.6	0.5	0.7	0.4	0.5	0.6
Margin	2.74	2.75	2.75	2.71	2.76	2.73

1-Year Adjustable Rate Mortgages	US	NE	SE	NC	SW	W
Average	2.97	3.15	2.78	3.20	2.92	2.77
Fees & Points	0.5	0.5	0.5	0.4	0.8	0.5
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	4.75	4.20	3.89	3.82	4.49	3.68	3.28	2.95
Fees & Points	0.7	0.7	0.7	0.6	0.7	0.7	0.5	0.5
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, 5-year hybrid, 1-year treasury

Source:
Freddie Mac