The mortgage rate for 30-year loans edged higher for the first time in four weeks, although it could have been worse considering how much the jobs report last week beat expectations.
The average rate for a 30-year fixed mortgage was 4.15 percent this week, up from 4.12 percent, Freddie Mac said tdoay. The average 15-year rate climbed 3.24 percent from 3.22 percent.
“Mortgage rates increased for the week as the labor market appears to be improving,” said Frank Nothaft, vice president and chief economist, Freddie Ma.
The U.S. economy added 288,000 jobs in June, gained 224,000 in May and increased by 304,000 in April. Also, the unemployment rate in June fell to 6.1 percent from 6.3 percent in May.
After a slow start to 2014, housing demand is gaining some strength. Contracts to buy previously-owned homes rosed 6.1 percent in May, the biggest monthly gain since April 2010, the National Association of Realtors said this week.
Here’s the rundown on rates from Freddie Mac:
30-year fixed-rate mortgage (FRM) averaged 4.15 percent, with an average 0.7 point for the week ending July 10, 2014, up from last week when it averaged 4.12 percent. A year ago at this time, the 30-year FRM averaged 4.51 percent.
15-year FRM this week averaged 3.24 percent, with an average 0.6 point, up from last week when it averaged 3.22 percent. A year ago at this time, the 15-year FRM averaged 3.53 percent.
5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.99 percent this week, with an average 0.4 point, up from last week when it averaged 2.98 percent. A year ago, the 5-year ARM averaged 3.26 percent.
1-year Treasury-indexed ARM averaged 2.40 percent this week, with an average 0.4 point, up from last week when it averaged 2.38 percent. At this time last year, the 1-year ARM averaged 2.66 percent.