Mortgage Rates Reach Seven Month Lows This Week, According To Freddie Mac Survey

February 20, 2004

Lack Of Inflation Keeps Rates Affordable

McLean, VA ? In Freddie Mac's Primary Mortgage Market Survey, the 30-year fixed-rate mortgage (FRM) averaged 5.58 percent, with an average 0.6 point, for the week ending February 19, 2004, down from 5.66 percent last week. Last year at this time, the 30-year FRM averaged 5.84 percent. This is the lowest the 30-year FRM has been since the week ending July 11, 2003, when it was 5.52 percent.

The average for the 15-year FRM this week is 4.87 percent, with an average 0.6 point, down from last week's average of 4.96 percent. A year ago, the 15-year FRM averaged 5.21 percent. This is the lowest the 15-year FRM has been since the week ending July 11, 2003, when it was 4.85 percent.

One-year Treasury-indexed adjustable-rate mortgages (ARMs) averaged 3.53 percent this week, with an average 0.6 point, down from 3.57 percent last week. At this time last year, the one-year ARM averaged 3.81 percent. This is the lowest the one-year ARM has been since the week ending July 4, 2003, when it averaged 3.49 percent.

"Mortgage rates this week are at seven month lows and teetering on the 45-year low levels of last summer," said Frank Nothaft, Freddie Mac chief economist. "There continues to be no sign of inflation on the horizon and, as a matter of fact, core inflation is at a generational low. This is good news for housing, as low mortgage rates make homeownership more available to a broader segment of society."

Source: Freddie Mac


Contact ALTA at 202-296-3671 or communications@alta.org.

SoftPro, based in Raleigh, NC, offers a mature suite of products, designed specifically for the closing and title industry. Our mission is to serve our client base, with best-in-class products and services. Our products are modular so we don't force you to buy anything you don't need. You can always add on as your business grows. Unlike other software companies, we view the sale as the beginning of the relationship rather than the end. North American Title Insurance Company (NATIC) is a seasoned title insurance underwriter, helping title agents to achieve their individual business goals for more than 50 years. Today, the company conducts real estate settlement services in 39 states and the District of Columbia through a network of experienced, independent agents.
The National Mortgage Rate Snapshot
This Week One Week Ago One Year Ago
30-Yr 15-Yr 1-Yr
ARM
5.58 4.87 3.53
0.6 0.6 0.6
30-Yr 15-Yr 1-Yr
ARM
5.66 4.96 3.57
0.7 0.7 0.7
30-Yr 15-Yr 1-Yr
ARM
5.884 5.21 3.81
0.6 0.6 0.7