Mortgage Rates Inch Up
McLean, VA – Freddie Mac (NYSE:FRE) released the results of its Primary Mortgage Market Survey® (PMMS®) in which the 30-year fixed-rate mortgage (FRM) averaged 4.99 percent with an average 0.6 point for the week ending March 25, 2010, up slightly from last week when it averaged 4.96 percent. Last year at this time, the 30-year FRM averaged 4.85 percent.
The 15-year FRM this week averaged 4.34 percent with an average 0.6 point, up slightly from last week when it averaged 4.33 percent. A year ago at this time, the 15-year FRM averaged 4.58 percent.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.14 percent this week, with an average 0.6 point, up from last week when it averaged 4.09 percent. A year ago, the 5-year ARM averaged 4.96 percent.
The 1-year Treasury-indexed ARM averaged 4.20 percent this week with an average 0.6 point, up from last week when it averaged 4.12 percent. At this time last year, the 1-year ARM averaged 4.85 percent.
(Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.)
“Mortgage rates inched up slightly this week as bond yields rose even further,” said Frank Nothaft, Freddie Mac vice president and chief economist. “Interest rates on 30-year fixed mortgages, however, were still below 5 percent for the fourth consecutive week.
“Household debt burdens on aggregate continue to improve through the end of 2009. The Federal Reserve. reported that the financial obligations for homeowners declined to under 16.1 percent of their disposable income in the fourth quarter, which represents the lowest share since the third quarter of 2003. Similarly, the obligations share for renters fell below 24.4 percent, the lowest since the end of 1993.”
Freddie Mac was established by Congress in 1970 to provide liquidity, stability and affordability to the nation’s residential mortgage markets. Freddie Mac supports communities across the nation by providing mortgage capital to lenders. Over the years, Freddie Mac has made home possible for one in six homebuyers and more than five million renters.