The 30-year fixed mortgage rate on Zillow Mortgage Marketplace is currently 3.98 percent, down five basis points from this time last week. The 30-year fixed mortgage rate hovered around four percent for the majority of the week, before dropping slightly to the current rate on Tuesday morning.
“Last week, rates hit four week lows after a weaker than expected gross domestic product report suggested some softness in the U.S. economy,” said Erin Lantz, vice president of mortgages at Zillow. “This week, we expect mortgage rates to remain fairly flat unless the jobs report, out Thursday rather than Friday this week, reveals an unexpectedly strong gain in the labor market.”
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 2.98 percent, while the rate for a 5-1 adjustable-rate mortgage (ARM) is 2.77 percent.
Mortgage Application Activity
Zillow predicts tomorrow’s seasonally adjusted Mortgage Bankers Association Weekly Application Index will show activity for both refinance and purchase loans to rise by five percent from the week prior. Refinance volume for the week ending June 27, 2014 is predicted to decline by eight percent while purchase volume is predicted to fall by one percent. Zillow combines loan requests made on Zillow Mortgage Marketplace last week with the previous week’s Mortgage Bankers Association (MBA) Weekly Application Index to predict the MBA’s Weekly Application Index, which will be released tomorrow. For more information about this prediction, click here.