|
|
Mortgage rates eased, but so did 1003s.
In its survey of thrifts, commercial banks and mortgage lending companies for the week ended Aug. 14, Freddie Mac reported the 30-year fixed-rate mortgage averaged 6.52% — the same as the prior week and 10 basis points below a year earlier. The average 15-year fixed-rate mortgage was 6.07%, down 3 BPS from the previous week. Frank Nothaft, Freddie’s chief economist, explained in the statement that rising consumer credit was offset by weaker retail sales, holding rates relatively steady. The 10-year Treasury yield was 3.90% in early trading, down from 3.99% seven days earlier, CNNMoney reported. The drop suggests fixed-mortgage rates will head lower. Bankrate.com’s weekly survey offered no guidance, with 38% of the panelists for the week Aug. 14 to Aug. 20 predicting rates will increase by at least 3 BPS during the next 35 to 45 days, 31% forecasting falling rates and 31% who see no change ahead. Freddie forecasts the 30-year to average 6.5% this quarter. The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 6.02 in Freddie’s survey this week, falling 0.03% from the prior week. The average 1-year Treasury-indexed ARM was 5.18%, down from 5.22% the prior week. The yield on the 1-year Treasury itself was 2.19% yesterday, down from 2.26% seven days earlier, Treasury data indicate. The yield on the 6-month London Interbank Offered Rate was 3.10% yesterday, 0.01% lower than the prior week, Bankrate.com reported. Both the 1-year Treasury and the 6-month LIBOR are used as indices for ARMs, which the Mortgage Bankers Association said accounted for 7% of total applications in its Weekly Mortgage Applications Survey for the week ending Aug. 8, up fractionally from the prior week’s survey. Overall mortgage applications edged down 2 percent during the latest week, pushing the Market Composite Index down to 425.9, MBA reported. While purchase applications were flat, refinance applications fell 4% during the latest week, nudging the refinance share down to 35% from 36% the prior week. Government applications rose 3% in MBA’s survey. |
|
Sam Garcia worked in mortgage lending for twenty years prior to becoming publisher of MortgageDaily.com. e-mail:Â mtgsam@aol.com |
FREE CALCULATORS TO HELP YOU SUCCEED
Tools for Your Next Big Decision.
Amortization Calculator
Affordability Calculator
Mortgage Calculator
Refinance Calculator
FHA Mortgage Calculator
VA Mortgage Calculator
Real Estate Calculator
Tags
Pre-Approval Resources!
Making well educated decions in a matter of minutes and stay up to date on the latest news Mortgage Daily has to offer. Read our latest articles to stay up to date on what’s going on…
Resource Center
Since 1998, Mortgage Daily has helped millions of people such as yourself navigate the complicated hurdles of the mortgage industry. See our popular topics below, search our website. With over 300,000 articles, we are guaranteed to have something for you.
TOP SEARCHED TOPICS
Your mortgages approval starts here.
Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here. Add 1-2 sentence here.
Stay Up To Date with Today’s Latest Rates
Mortgage
Today’s rates starting at
Home Refinance
Today’s rates starting at
Home Equity
Today’s rates starting at
HELOC
Today’s rates starting at