Zillow: Fixed-Rates Take Nosedive to 4.17 Percent

The 30-year fixed mortgage rate on Zillow Mortgage Marketplace is currently 4.17 percent, down 21 basis points from 4.38 percent at this time last week. The 30-year fixed mortgage rates fell sharply Wednesday to 4.24 percent and remained relatively stable for the majority of the week before dropping to the current rate this morning. In just two weeks, 30-year fixed mortgage rates have dropped a total of 32 basis points. “Rates plunged to levels not seen since mid-June after the Federal Reserve surprised many by announcing plans to wait for signs of stronger economic growth before scaling back its stimulus program,” said Erin Lantz, director of mortgages at Zillow. “Next week, we expect rates to remain fairly flat as markets continue to digest the Fed’s announcement and look for particularly strong or surprisingly weak economic data before making major changes.” Zillow’s real-time mortgage rates are based on thousands of custom mortgage quotes submitted daily to anonymous borrowers on the Zillow Mortgage Marketplace site, and reflect the most recent changes in the market. These are not marketing rates, or a weekly survey. The rate for a 15-year fixed home loan is currently 3.19 percent, while the rate for a 5-1 adjustable-rate mortgage (ARM) is 2.96 percent.