Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS), which shows mixed results in both long- and short-term rates this week. Thirty-year fixed-rate mortgages (FRM) averaged 4.81 percent, with an average 0.8 point for the week ending Feb. 4, 2011, up from last week when it averaged 4.80 percent. Last year at this time, the 30-year FRM averaged 5.01 percent.
“Mortgage rates held relatively stable this week on news that the economy improved and inflation remained in check at the end of 2010," said Frank Nothaft, vice president and chief economist, Freddie Mac. "In the fourth quarter, the economy grew at a 3.2 percent annualized rate, compared to 2.6 percent in the third quarter, and was led by a 4.4 percent gain in consumer spending. In addition, the core price index for consumer expenditures rose by an annualized rate of 0.4 percent, which was the smallest increase ever since records began in 1959."
The 15-year FRM this week averaged 4.08 percent with an average 0.8 point, down from last week when it averaged 4.09 percent. A year ago at this time, the 15-year FRM averaged 4.40 percent.
“In the fourth quarter of 2010, housing was the most affordable on record according to figures published by the National Association of Realtors which date back to 1971,” said Nothaft.
The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.69 percent this week, with an average 0.7 point, down from last week when it averaged 3.70 percent. A year ago, the five-year ARM averaged 4.27 percent. The one-year Treasury-indexed ARM averaged 3.26 percent this week with an average 0.6 point, the same as last week when it averaged 3.26 percent. At this time last year, the one-year ARM averaged 4.22 percent.
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