Mortgage rates have increased for the third week in row, with the 30-year fixed-rate mortgage rising three basis points from the prior week.
The Freddie Mac Primary Mortgage Market Survey showed that the upswing pushed the 30-year FRM up to 3.78% from 3.75%. A year ago, the 30-year FRM averaged 4.83%.
“This week marks the third consecutive week of rate increases, which hasn’t happened since April of this year,” said Sam Khater, Freddie Mac’s Chief Economist. "That said, purchase activity continues to show strength, indicating obvious homebuyer demand."
However, Khater also said that the shortage in housing supply remains a major drawback to the housing market and even the overall economic recovery.
The 15-year FRM grew one basis point from 3.18% to 3.19%. Last year, the 15-year FRM averaged 4.23%.
Meanwhile, the 5-year Treasury-indexed hybrid adjustable-rate mortgage climbed to 3.43% from 3.4% the week before and 4.04% a year ago.