Snap News updates real estate markets and all things of interest to property owners and real estate professionals.
May 19, 2011
Freddie Mac Weekly Update: Fixed-Rate Mortgages Hit a New Year To Date Low
30-year fixed-rate mortgage:averaged 4.61 percent with an average 0.7 point for the week ending May 19, 2011, down from last week when it averaged 4.63 percent. Last year at this time, the 30-year FRM averaged 4.84 percent The 15-year fixed-rate mortgage: this week averaged 3.80 percent with an average 0.7 point, down from last week when it averaged 3.82 percent. A year ago at this time, the 15-year FRM averaged 4.24 percent.
Five-year indexed hybrid adjustable-rate mortgages ARMs:averaged 3.48 percent this week, with an average 0.6 point , up from last week when it averaged 3.41 percent. A year ago, the 5-year ARM averaged 3.91 percent . One-year Treasury-indexed ARMs:averaged3.15 percent this week with an average 0.6 point, upfrom last week when it averaged 3.11 percent. At this time last year, the 1-year ARM averaged 4.00 percent. Freddie Sayz
Attributed to Frank Nothaft, vice president and chief economist, Freddie Mac
Fixed mortgage rates inched down for the fifth consecutive week as financial markets try to ascertain the current strength of the economy. Industrial production was unchanged in April owing to disruptions in automobile parts supplies due to the earthquake and tsunami in Japan. Netting out automobiles and gasoline, retail sales rose 0.2 percent in April, which was less than a third of the increase in March and the weakest growth since December 2010. However,consumer confidence, as measured by the University of Michigan, rose above the market consensus in May to the highest reading since February Data on the housing market was also mixed. New construction on single-family homes fell 5.1 percent in April, with the largest declines occurring in the Midwest and South regions where tornados hit the hardest. Homebuilder confidence remained unchanged in May and near its January 2009 historical low, according to the NAHB/Wells Fargo Housing Market Index. However,conventional mortgages applications rose for the past five straight weeks ending May 13th, buoyed by lower mortgage rates and stronger refinancing activity