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Freddie Mac PMMS: Employment report allows bond yields to fallMortgagePress.comFreddie Mac, PMMS, statistics, Primary Mortgage Market Survey, fixed-rate mortgage, ARM, Frank Nothaft
Freddie Mac has released the results of its Primary Mortgage
Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM)
averaged 5.47 percent with an average 0.7 point for the week ending
Dec. 11, 2008, down from last week when it averaged 5.53 percent.
Last year at this time, the 30-year FRM averaged 6.11 percent. The
30-year FRM has not been lower since March 25, 2004, when it
averaged 5.40 percent.
The 15-year FRM this week averaged 5.20 percent with an average
0.7 point, down from last week when it averaged 5.33 percent. A
year ago at this time, the 15-year FRM averaged 5.78 percent. The
15-year FRM has not been since February 7, 2008, when it averaged
5.15 percent.
Five-year Treasury-indexed hybrid adjustable-rate mortgages
(ARMs) averaged 5.82 percent this week, with an average 0.6 point,
up from last week when it averaged 5.77 percent. A year ago, the
5-year ARM averaged 5.89 percent.
One-year Treasury-indexed ARMs averaged 5.09 percent this week
with an average 0.4 point, up from last week when it averaged 5.02
percent. At this time last year, the one-year ARM averaged 5.50
percent.
Average commitment rates should be reported along with average
fees and points to reflect the total cost of obtaining the
mortgage.
"Following the release of the November employment report, which
showed the largest monthly decline in jobs since December 1974,
bond yields fell slightly this week allowing fixed-rate mortgage
rates room to ease back a little further," said Frank Nothaft,
Freddie Mac vice president and chief economist.
"The housing market still hangs in the balance, however,"
continued Nothaft. "On a year-over-year basis, after rising in both
August and September, pending existing home sales fell one percent
in October, based on figures from the National Association of
Realtors. Meanwhile, conventional mortgage applications for home
purchases over the week ending Dec. 5 were up two percent from four
weeks prior, but were still 51 percent below the same period last
year, according to the Mortgage Bankers Association."
For more information, visit www.freddiemac.com.