Rates on the most popular types of mortgages moved higher, according to HSH.com's Weekly Mortgage Rates Radar. The average rate for conforming 30-year fixed-rate mortgages (FRMs) rose by four basis points (0.04 percent) to 3.51 percent. Conforming 5/1 Hybrid ARM rates increased by 11 basis points, closing the Wednesday-to-Tuesday wraparound weekly survey at an average of 2.74 percent.
"Fairly solid reports about the start of the holiday retail season have lent some optimism about the state of the economy, lifting rates a bit," said Keith Gumbinger, vice president of HSH.com. "Despite ongoing economic challenges, consumers seem willing to open their wallets and that should help push the economy forward through the fourth quarter of 2012."
A new third-quarter estimate for GDP is due out on Thursday. The initial estimate showed a two percent rate of growth.
"We still have the ‘fiscal cliff’ approaching, and no agreement is yet in place," said Gumbinger, "but that both sides are at least talking about getting an agreement in place is a positive signal that an economic collapse is less likely to come in early 2013. That said, any deal which avoids Armageddon will still likely weigh on the economy, but economic prospects would be brighter with one in place than without."
Average mortgage rates and points for conforming residential mortgages for the week ending Nov. 27, according to HSH.com:
Conforming 30-year fixed-rate mortgage
►Average rate: 3.51 percent
►Average points: 0.23
Conforming 5/1-year adjustable-rate mortgage
►Average rate: 2.74 percent
►Average points: 0.18
Average mortgage rates and points for conforming residential mortgages for the previous week ending Nov. 20 were, according to HSH.com:
Conforming 30-year fixed-rate mortgage
►Average rate: 3.47 percent
►Average points: 0.31
Conforming 5/1-year adjustable-rate mortgage
►Average rate: 2.63 percent
►Average points: 0.25
The Weekly Mortgage Rates Radar reports the average rates and points offered on conforming 30-year fixed-rate mortgages and conforming 5/1 ARMs. The weekly mortgage rate survey covers a large sample of mortgage lenders and is conducted over a Wednesday-to-Tuesday cycle, with data released every Wednesday.
