Fixed-Rates Rise for Third Consecutive Week
Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS), showing the average fixed-rate mortgage (FRM) moving higher amid solid housing data on new home sales and house price appreciation. The 30-year FRM averaged 3.80 percent with an average 0.6 point for the week ending Feb. 26, 2015, up from last week when it averaged 3.76 percent. A year ago at this time, the 30-year FRM averaged 4.37 percent. The 15-year FRM this week averaged 3.07 percent with an average 0.6 point, up from last week when it averaged 3.05 percent. A year ago at this time, the 15-year FRM averaged 3.39 percent. Mortgages rates still remain near lows last seen since late May 2013.
"Mortgage rates rose for the third consecutive week in February following solid housing data," said Len Kiefer, deputy chief economist, Freddie Mac. "New home salesbeat market expectations at an annual pace of 481,000 units, down slightly from 482,000 units in December, but up 5.3 percent from a year ago. Also, the S&P/Case-Shiller National House Price Index rose 4.6 percent over the 12-months ending in December 2014."
The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.99 percent this week with an average 0.5 point, up from last week when it averaged 2.97 percent. A year ago, the five-year ARM averaged 3.05 percent. The one-year Treasury-indexed ARM averaged 2.44 percent this week with an average 0.4 point, down from last week when it averaged 2.45 percent. At this time last year, the one-year ARM averaged 2.52 percent.