Freddie Says: Mortgage Rates Steady
Freddie Mac recently released the results of its Primary
Mortgage Market Survey® (PMMS®), showing average fixed mortgage rates largely
holding steady from the previous week, remaining near their 65-year record lows,
and continuing to provide support for the housing recovery.
showed that the 30-year fixed-rate mortgage (FRM) averaged 3.52 percent with an
average 0.7 point for the week ending March 7, 2013, up from last week when it
averaged 3.51 percent. Last year at this time, the 30-year FRM averaged 3.88
Additionaly, the 15-year FRM this week averaged 2.76 percent
with an average 0.7 point, the same as last week. A year ago at this time, the
15-year FRM averaged 3.13 percent.
The survey shows that the 5-year
Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.63 percent
this week with an average 0.5 point, up from last week when it averaged 2.61
percent. A year ago, the 5-year ARM averaged 2.81 percent.
Treasury-indexed ARM averaged 2.63 percent this week with an average 0.3 point,
down from last week when it averaged 2.64 percent. At this time last year, the
1-year ARM averaged 2.73 percent.
Average commitment rates should be
reported along with average fees and points to reflect the total upfront cost of
obtaining the mortgage. Visit the following links for the Regional and National
Mortgage Rate Details and Definitions. Borrowers may still pay closing costs
which are not included in the survey.
"With gross domestic product
growing only 0.1 percent in the fourth quarter of 2012, inflation remains at bay
and consequently mortgage rates low,” says Frank Nothaft, vice president and
chief economist, Freddie Mac.. In fact, the price index of personal consumption
expenditures rose only 0.1 percent in January which was below the market
consensus forecast. Moreover, these low mortgage rates are helping to revive the
housing market. For instance the CoreLogic® home price index rose 9.7 percent
between January 2012 and 2013, marking the largest annual increase since April
For more information, visit www.FreddieMac.com.