Mortgage Rates Drop to Lowest Level in Three Months

Mortgage Rates Drop to Lowest Level in Three Months

Freddie Mac released the results of its Primary Mortgage Market Survey®, showing that mortgage rates dropped significantly after several weeks of moderating.

“The 30-year fixed fell to 4.63 percent this week – the lowest it has been since mid-September,” said Sam Khater, Freddie Mac’s chief economist. “Mortgage rates have either fallen or remained flat for five consecutive weeks and purchase applicants are responding with an uptick in demand given these lower rates. While the housing market softened in response to higher rates through most of this year, the combination of a low unemployment and recent downdraft in rates should support home sales heading into the early winter months.”

According to Freddie Mac, 30-year fixed-rate mortgage (FRM) averaged 4.63 percent with an average 0.5 point for the week ending December 13, down from the previous week when it averaged 4.75 percent. A year ago at this time, the 30-year FRM averaged 3.93 percent.

A 15-year fixed rate mortgage this week averaged 4.07 percent with an average 0.5 point, down from last week when it averaged 4.21 percent. A year ago at this time, the 15-year FRM averaged 3.36 percent.

A 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.04 percent with an average 0.3 point, down from last week when it averaged 4.07. A year ago at this time, the 5-year ARM averaged 3.36 percent. Closing costs are not included in the survey.

Freddie Mac was created by Congress in 1970 to make housing more accessible and affordable for homebuyers and renters in communities nationwide. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.

Leave a Comment
Avatar

After earning her bachelor’s degree in journalism at the University of Central Florida, Tracey set out in the real world at Florida Realtors in 1994 as a communication assistant, working her way up to editor in chief of Florida Realtor magazine. In 2004, she left the association to start her freelance writing and editing business. One of her first clients was REAL Trends, and she started working for the organization in 2005. In 2014, Tracey was promoted to editor in chief of publications for REAL Trends. She handles the writing and editing of all REAL Trends publications and marketing materials, including LORE Magazine, the REAL Trends newsletter and the blog. She is also the primary podcast interviewer where she conducts interviews with top real estate industry leaders and affiliated industry leaders. Tracey is married with two children.

 MARKET YOUR SUCCESS 

IN STYLE!

APPAREL
DRINKWARE
 SOCIAL TEMPLATES
VIEW PACKAGES
close-link
Show Buttons
Hide Buttons