Mortgage Rates Rise Upon Release of Economic News

The 30-year fixed mortgage rate on Zillow Mortgages is currently 4.19 percent, up 14 basis points from this time last week. The 30-year fixed mortgage rate rose steadily last week, peaking at 4.30 percent on Sunday before easing down to the current rate. “Last week, rates hit a five-month high on anticipation that the Fed’s policy statement might suggest an earlier than expected hike in the federal funds rate,” said Erin Lantz, vice president of mortgages at Zillow. “This week, any significant movement in rates will stem from the Fed’s Wednesday announcement, which could reveal how quickly the federal funds rate will rise after the stimulus program ends.” Zillow’s real-time mortgage rates are based on thousands of custom mortgage quotes submitted daily to anonymous borrowers on the Zillow Mortgages 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 3.26 percent, while the rate for a 5-1 adjustable-rate mortgage (ARM) is 3.03 percent.