Zillow Mortgages: Rates Dive Yet Again to Sub-Four Percent Mark

The 30-year fixed-rate mortgage (FRM) on Zillow Mortgages is currently 3.82 percent, down eight basis points from this time last week. The 30-year FRM hovered around 3.85 percent for most of the week before falling to the current rate.

“Rates remained flat for most of last week, but dipped slightly early Monday on news that Japan fell into a recession in Q3,” said Erin Lantz, vice president of mortgages at Zillow. “Despite incoming inflation and home sales data, we do not expect rates to move dramatically this week.”

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.

The rate for a 15-year fixed home loan is currently 2.99 percent, while the rate for a 5-1 adjustable-rate mortgage (ARM) is 2.82 percent.  

Zillow predicts this week's seasonally adjusted Mortgage Bankers Association Weekly Application Survey will show purchase loan activity increased by four percent from the week prior. Zillow combines loan requests made on Zillow Mortgages last week with the previous week’s MBA Weekly Application Index to predict the MBA’s Weekly Application Index for purchase loans, which will be releasedtomorrow.