Rise in Unemployment Drives Up Mortgage Rates to 4.37 Percent

Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS), showing average fixed mortgage rates edging up following a week with little new economic and housing news, as the 30-year fixed-rate mortgage (FRM) averaged 4.37 percent with an average 0.6 point for the week ending March 13, 2014, up from last week when it averaged 4.28 percent. A year ago at this time, the 30-year FRM averaged 3.63 percent. Also this week, the 15-year FRM averaged 3.38 percent with an average 0.6 point, up from last week when it averaged 3.32 percent. A year ago at this time, the 15-year FRM averaged 2.79 percent.  "Mortgage rates edged up amid a week of light economic reports," said Frank Nothaft, vice president and chief economist for Freddie Mac. "Of the few releases, the economy added 175,000 jobs in February, which was above the market consensus forecast and followed an upward revision of 25,000 jobs for the prior two months. Meanwhile, the unemployment rate nudged up to 6.7 percent, the first rate increase in over a year." The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.09 percent this week with an average 0.4 point, up from last week when it averaged 3.03 percent. A year ago, the five-year ARM averaged 2.61 percent. The one-year Treasury-indexed ARM averaged 2.48 percent this week with an average 0.4 point, down from last week when it averaged 2.52 percent. At this time last year, the one-year ARM averaged 2.64 percent.