Long-Term Mortgage Rates Slightly Lower While One-Year Arm Is Flat This Week
November 19, 2004
Economic Indicators Seem To Point To Sustainable Growth In The Economy
McLEAN, VA -- Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey in which the 30-year fixed-rate mortgage (FRM) averaged 5.74 percent, with an average 0.6 points, for the week ending November 18, 2004, down from last week when it averaged 5.76 percent. Last year at this time, the 30-year FRM averaged 6.03 percent.
The average for the 15-year FRM this week is 5.15 percent, with an average 0.6 points, down slightly from last week when it averaged 5.16 percent. A year ago, the 15-year FRM averaged 5.39 percent.
One-year Treasury-indexed adjustable-rate mortgages (ARMs) averaged 4.17 percent this week, with an average 0.7 point, up from last week when it averaged 4.16 percent. At this time last year, the one-year ARM averaged 3.76 percent.
“Because long-term mortgage rates are still well below the peak levels reached last May of this year, housing starts are currently exceeding expectations,” said Frank Nothaft, Freddie Mac vice president and chief economist. “With no dramatic rise in rates on the horizon, the housing industry should continue to be healthy well into the future.
“Most economic indicators are pointing to sustainable growth in the economy and this should lead to further job creation, thereby helping more families achieve the American dream of homeownership in the years ahead.”
Source: Freddie Mac