Freddie Mac: Mortgage Rates Drop to 3.78 Percent

Freddie Mac has released the results of its Primary Mortgage Market Survey (PMMS), showing average fixed mortgage rates moving down across the board, as the 30-year fixed-rate mortgage (FRM) averaged 3.78 percent with an average 0.6 point for the week ending March 19, 2015, down from last week when it averaged 3.86 percent. A year ago at this time, the 30-year FRM averaged 4.32 percent. The 15-year FRM averaged 3.06 percent this week, with an average 0.6 point, down from last week when it averaged 3.10 percent. A year ago at this time, the 15-year FRM averaged 3.32 percent. 

"The average 30-year fixed mortgage rate fell to 3.78 percent this week following mixed housing data," said Len Kiefer, deputy chief economist, Freddie Mac. "Housing starts dropped 17 percent to a seasonally adjusted pace of 897,000 units, below market expectations. However, housing permits increased three percent in February. As we head into spring, home builders remain positive about home sales in the near future although the NAHB Housing Market Index dropped another two points to 53 in March."

The five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.97 percent this week with an average 0.5 point, down from last week when it averaged 3.01 percent. A year ago, the five-year ARM averaged 3.02 percent. The one-year Treasury-indexed ARM averaged 2.46 percent this week with an average 0.4 point, unchanged from last week. At this time last year, the one-year ARM averaged 2.49 percent.