Factors driving low long-term bond yield and mortgage rates remain, says Bankrate
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by Francis Monfort
Mortgage rates saw a slight drop for a second straight week as the focus was on corporate earnings, political dysfunction, and the rising stock market, according to a weekly national survey by Bankrate.
The benchmark 30-year fixed mortgage rate declined to 4.11%, compared to 4.13% last week. The average discount and origination points is 0.23 for the average 30-year fixed mortgage. Based on the current average 30-year fixed mortgage rate, the monthly payment for a $200,000 loan is $967.56.
The factors driving low long-term bond yield and mortgage rates remain, according to Bankrate. These include low inflation and a “slow growth” economy. “Even Fed Chair Janet Yellen was perceived to be more dovish in her recent Congressional testimony, though she continues to feel that the inflation pullback is a temporary rather than lasting phenomenon,” Bankrate said.
Larger jumbo 30-year mortgage rates slipped to 4.06% from 4.11%, while the rate for the average 15-year fixed mortgage decreased to 3.31% from 3.33% a week ago. The average discount and origination points for the latter stood at 0.19. Rates for adjustable mortgages were mostly lower. The 50-year adjustable mortgage rate was 3.52%, down from 3.54% a week ago, and with 0.31 average discount and origination points. The 10-year adjustable rate mortgage rate fell to 3.91%.
Figures came from data provided by the top 10 banks and thrifts across the country’s 10 top markets. Bankrate’s weekly Rate Trend Index complements the survey. This week, half of a panel of mortgage experts predict mortgage rates to keep falling, while one-third predict a rebound. Just 17% expect mortgage rates to remain more or less unchanged in the coming week.
Related stories:
Record sales, prices in first half of 2017
Fannie Mae maintains 2017 economic growth outlook
Mortgage rates saw a slight drop for a second straight week as the focus was on corporate earnings, political dysfunction, and the rising stock market, according to a weekly national survey by Bankrate.
The benchmark 30-year fixed mortgage rate declined to 4.11%, compared to 4.13% last week. The average discount and origination points is 0.23 for the average 30-year fixed mortgage. Based on the current average 30-year fixed mortgage rate, the monthly payment for a $200,000 loan is $967.56.
The factors driving low long-term bond yield and mortgage rates remain, according to Bankrate. These include low inflation and a “slow growth” economy. “Even Fed Chair Janet Yellen was perceived to be more dovish in her recent Congressional testimony, though she continues to feel that the inflation pullback is a temporary rather than lasting phenomenon,” Bankrate said.
Larger jumbo 30-year mortgage rates slipped to 4.06% from 4.11%, while the rate for the average 15-year fixed mortgage decreased to 3.31% from 3.33% a week ago. The average discount and origination points for the latter stood at 0.19. Rates for adjustable mortgages were mostly lower. The 50-year adjustable mortgage rate was 3.52%, down from 3.54% a week ago, and with 0.31 average discount and origination points. The 10-year adjustable rate mortgage rate fell to 3.91%.
Figures came from data provided by the top 10 banks and thrifts across the country’s 10 top markets. Bankrate’s weekly Rate Trend Index complements the survey. This week, half of a panel of mortgage experts predict mortgage rates to keep falling, while one-third predict a rebound. Just 17% expect mortgage rates to remain more or less unchanged in the coming week.
Related stories:
Record sales, prices in first half of 2017
Fannie Mae maintains 2017 economic growth outlook
