Ten-Year Treasury Note Drives Mortgage Rates Back Up

Freddie Mac has announced the results of its latest Primary Mortgage Market Survey (PMMS), showing average fixed mortgage rates following an uptick, as the 30-year fixed-rate mortgage (FRM) averaged 4.33 percent with an average 0.6 point for the week ending April 24, 2014. This was up from last week when it averaged 4.27 percent. A year ago at this time, the 30-year FRM averaged 3.40 percent. Also this week, the 15-year FRM veraged 3.39 percent with an average 0.6 point, up from last week when it averaged 3.33 percent. A year ago at this time, the 15-year FRM averaged 2.61 percent.  "Mortgage rates edged up following the uptick in the 10-year Treasury note late last week," said Frank Nothaft, vice president and chief economist, Freddie Mac. "Existing home sales were essentially flat with a 0.2 percent decline in March to a seasonally adjusted annual rate of 4.59 million. However, new home sales fell nearly 15 percent in March to an annual rate of 384,000, well below consensus." The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.03 percent this week with an average 0.5 point, unchanged from last week. A year ago, the five-year ARM averaged 2.58 percent. The one-year Treasury-indexed ARM averaged 2.44 percent this week with an average 0.5 point, unchanged from last week. At this time last year, the one-year ARM averaged 2.62 percent.