The 30-year fixed mortgage averaged 3.98 percent this week, inching downward toward the all-time low of 3.94 percent set last month, Freddie Mac said today.
Meanwhile, adjustable-rate mortgages (ARMs) averaged new record lows.
“Mortgage rates eased slightly this week with fixed-rate loans hovering above all-time lows and ARMs reaching a new nadir,” said Frank Nothaft, vice president and chief economist, Freddie Mac. “The high-degree of home-buyer affordability in recent months translated into a 1.4 percent pickup in existing home sales during October, according to the National Association of Realtors (NAR).”
Here is Freddie Mac’s wrap-up on mortgage rates for the week ending today:
- The 30-year fixed-rate mortgage averaged 3.98 percent, with an average 0.7 point, down from last week when it averaged 4.00 percent. Last year at this time, the 30-year fixed rate averaged 4.40 percent.
- The 15-year fixed rate averaged 3.30 percent, with an average 0.7 point, down from last week when it averaged 3.31 percent. A year ago at this time, the 15-year fixed rate averaged 3.77 percent.
- The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.91 percent, with an average 0.6 point, down from last week when it averaged 2.97 percent. A year ago, the 5-year ARM averaged 3.45 percent.
- The 1-year Treasury-indexed ARM averaged 2.79 percent, with an average 0.6 point, down from last week when it averaged 2.98 percent. At this time last year, the 1-year ARM averaged 3.23 percent.
Despite the record low rates, overall mortgage applications remained flat last week, according to today’s report from the Mortgage Bankers Association. Its Market Composite Index, a measure of mortgage loan application volume, decreased 1.2 percent on a seasonally-adjusted basis, compared to the previous week.
However, the group’s seasonally-adjusted Purchase Index – that excludes refinancing applications — increased 8.2 percent to its highest level since August 12, 2011.
The National Association of Realtors reported this week that the median price of an existing home was $162,500 in October, down 4.7 percent from a year earlier and 29 percent below the peak of $230,300 set in July 2006.