Thursday, December 3, 2009
by Broderick Perkins
© 2009 DeadlineNews.Com
Unauthorized use of this story is a copyright violation -- a federal crime
Deadline Newsroom - Averaging 4.71 percent this week, fixed interest rate mortgages (FRMs) on 30-year conforming loans haven't been this low since Freddie Mac began its weekly survey in 1971.
Freddie's Mortgage Market Survey for the week ending Dec. 3 posted another record when the 15-year FRM averaged 4.27 percent, breaking last week's record low. This week's 15-year FRM average interest rate has never been this low since Freddie first included the 15-year FRM in its survey in 1991.
Frank Nothaft, Freddie Mac's chief economist said it's the fifth consecutive week the two rates have fallen. The rates also averaged one full percent point below averages at this time last year.
The 5-year Treasury-indexed hybrid adjustable rate mortgage (ARM) averaged 4.19 percent, rising from 4.18 percent last week and 5.77 percent one year ago.
The 1-year Treasury-indexed ARM averaged 4.25 percent this week with an average 0.6 point, compared to 4.35 percent last week and 5.02 percent a year ago. The last time the 1-year ARM was this low was the week ending June 30, 2005, when it averaged 4.24 percent.
"Low mortgage rates and the cumulative decline in house prices have contributed to an extremely affordable housing market and helped spur home sales this year," said Nothaft.
New and existing home sales in October were 36 percent higher than their January low on a seasonally adjusted, annualized rate, according to the National Association of Realtors (NAR). Pending existing home sales also rose for the ninth straight month in October, representing the longest consecutive gain since the series began in 2001, NAR Reported.
Click on the keywords below for more stories on this subject.
© 2009 DeadlineNews.Com
Advertise on DeadlineNews.Com | Shop DeadlineNews.Com
Get "News that really hits home!" for your Web site or blog from the DeadlineNewsGroup.Com.
You are reading a sample of "News that really hits home!", now available from several beats and published in a growing number of locations.
Broderick Perkins, an award-winning consumer journalist, parlayed 30 years of old-school journalism into a digital real estate news service, the San Jose, CA-based DeadlineNews Group, including DeadlineNews.Com, a real estate news and consulting service and Web site, and the Deadline Newsroom, DeadlineNews.Com's news back shop.
Perkins is also the first Examiner to cover three beats for the Examiner.com news service:
National Offbeat News Examiner
National Consumer News Examiner
National Real Estate Examiner
DeadlineNews.Com's Editorial Content Is Intellectual Property Unauthorized Use Is A Federal Crime