Mortgage rates have plummeted to their lowest level in almost three months, according to the results of the Freddie Mac Primary Mortgage Market Survey.
The survey showed that the 30-year fixed-rate mortgage averaged 3.64%, down from 3.72% last week and from 4.45% last year at this time.
“Mortgage rates fell to the lowest level in 13 weeks, as investors sought the quality and safety of the US Treasury fixed income markets,” said Sam Khater, Freddie Mac’s Chief Economist. “The drop in mortgage rates, combined with the strong labor market, should propel a continued rise in homebuyer demand.”
The 15-year fixed-rate mortgage also went down from a week earlier when it averaged 3.16% to this week's 3.07%. A year ago, the 15-year FRM was 3.89%.
Lastly, the five-year Treasury-indexed hybrid adjustable-rate mortgage fell 16 basis points to 3.30%. The five-year ARM was 3.83% a year ago.