Fixed rates up slightly on mixed housing data

by MPA02 Dec 2013
Fixed mortgage rates were up slightly heading into the holiday after the release of mixed housing data last week, according to a report released Wednesday by Freddie Mac.

“The National Association of Realtors reported that their pending sales metric dipped for the fifth consecutive month and was slightly below year-ago levels, presaging a softening in sales near year-end. Nonetheless, house prices rose as homes-for-sale inventory remained tight in many markets,” said Frank Nothaft, Freddie Mac vice president and chief economist. “The S&P/Case-Shiller House Price index released yesterday showed prices in the 20 largest cities increased 13.3 percent annually in September, the highest year-over-year increase since February 2006, and a bit stronger than the Federal Housing Finance Agency's U.S.-wide Purchase-Only index, which appreciated 8.5 percent over the same period.”

Average rates for 30-year fixed-rate mortgages were 4.29% last week, up from 4.22% the previous week. A year ago, the 30-year FRM averaged 3.32%. The 15-year FRM rose to 3.30% last week from the previous week’s 3.27%.

Meanwhile, adjustable-rate mortgages were down slightly. The average rate for the 5-year Treasury-indexed hybrid ARM was 2.94% last week, edging down from the prior week’s 2.95%, while the 1-year Treasury-indexed ARM went from 2.61% to 2.60% last week.



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