Mortgage Rates Up Slightly at 4.22 Percent Average for the Week

Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS) for the week ending Aug. 25, 2011. The PMMS shows that 30-year fixed-rate mortgage (FRM) averaged 4.22 percent with an average 0.7 point for the week, up from last week when it the average stood at 4.15 percent. Last year at this time, the 30-year FRM averaged 4.36 percent. The PMMS also found that the 15-year FRM averaged 3.44 percent for the week, with an average 0.6 point, up from last week when it averaged 3.36 percent. A year ago at this time, the 15-year FRM averaged 3.86 percent. "Fixed mortgage rates followed Treasury bond yields higher this week while data reports suggest an improvement in the housing market," said Frank Nothaft, vice president and chief economist for Freddie Mac. "The Federal Housing Finance Agency national House Price Index rose for the third straight month in June bolstered by a 3.3 percent gain in the East North Central Census Division. In addition, the Mortgage Bankers Association reported that the serious delinquency rate (90 days or more plus foreclosures) on mortgages outstanding fell for the sixth consecutive quarter at the end of June to 7.85 percent." The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.07 percent this week, with an average 0.5 point, down from last week when it averaged 3.08 percent. One year ago, the five-year ARM averaged 3.56 percent. The one-year Treasury-indexed ARM averaged 2.93 percent with an average 0.5 point, up from last week when it averaged 2.86 percent. At this time last year, the one-year ARM averaged 3.52 percent.