Long-Term Fixed-Rate Mortgage Rates Flat This Week in Light of Mixed Economic Reports
McLEAN, VA -- Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 6.18 percent with an average 0.4 point for the week ending January 4, 2007, unchanged from last week when it averaged 6.18 percent. Last year at this time, the 30-year FRM averaged 6.21 percent. The 15-year FRM this week averaged 5.94 percent with an average 0.4 point, up slightly from last week when it averaged 5.93 percent. A year ago, the 15-year FRM averaged 5.76 percent. Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 6.02 percent this week, with an average 0.4 point, up from last week when it averaged 5.98 percent. A year ago, the five-year ARM averaged 5.78 percent. One-year Treasury-indexed ARMs averaged 5.42 percent this week with an average 0.6 point, down from last week when it averaged 5.47 percent. At this time last year, the one-year ARM averaged 5.16 percent. "Interest rates were flat this past week, reflecting the mixed messages from recent economic indicators," said Frank Nothaft, Freddie Mac vice president and chief economist. "The recently released manufacturing report showed an improvement, and while construction spending for November was down, it was still better than expected. On the other hand, a private sector employment report suggested that the labor market was weaker than anticipated. As a result, 30-year fixed-rate mortgage rates started off the year at about the same level as this time last year." "Currently the market is waiting for a clearer signal on the direction in which the economy is heading, and that may come on Friday when the December employment report is released." |
