Mortgage Rates Match Record Lows This Week

Mortgage Rates Match Record Lows This Week
Daily Real Estate News | Friday, January 06, 2012
With signs of an improving housing market, mortgage rates took another dip this week, matching at or near the all-time record lows, Freddie Mac reports in its weekly mortgage market survey.

For the fifth consecutive week, 30-year fixed-rate mortgages have averaged below 4 percent, which was unheard of until a few months ago.

"Fixed mortgage rates started the year a little lower this week just as recent data reports indicate the housing market and manufacturing industry are showing signs of improvement,” Frank Nothaft, Freddie Mac’s chief economist, said in a statement. Pending home sales for existing-homes soared 7.3 percent in November — its strongest pace since April 2010, the National Association of REALTORS® recently reported. Construction spending also increased in November by 1.2 percent — all serving as positive signs that housing is on the rebound.

Here’s a closer look at rates for the week ending Jan. 5:
•30-year fixed-rate mortgages: averaged 3.91 percent, with an average 0.8 point, matching its previous record low that it set a few weeks ago. Last week, 30-year rates averaged 3.95 percent and a year ago at this time, 30-year rates averaged 4.77 percent.
•15-year fixed-rate mortgages: averaged 3.23 percent, with an average 0.8 point, dropping from last week’s 3.24 percent average. Last year at this time, 15-year mortgages averaged 4.13 percent.
•5-year adjustable-rate mortgages: averaged 2.86 percent, with an average 0.7 point, dropping from last week’s 2.88 percent average. Last year at this time, 5-year ARMs averaged 3.75 percent.
•1-year ARMs: averaged 2.80 percent this week, with an average 0.6 point, inching up slightly from last week’s 2.78 percent average. A year ago, 1-year ARMs averaged 3.24 percent.
Now we just need some buyers to buy this year homes in San Luis Obispo.
If you have been here, you can see the values in homes thru out San Luis Obispo county.
Contact me for your free list of bank owned properties.