Long-term mortgage rates rose for the second consecutive week, according to Freddie Mac’s weekly mortgage survey.
Freddie Mac reported that the 30-year fixed-rate mortgage averaged 5.81 percent for the week ended today, up from last week when it averaged 5.75 percent. The average for the 15-year fixed-rate mortgage this week is 5.23 percent, up from last week when it averaged 5.18 percent. Points on both the 30- and 15-year averaged 0.6.
One-year Treasury-indexed adjustable-rate mortgages averaged 4.19 percent this week, with an average 0.6 point, up slightly from last week when they averaged 4.17 percent.
“The 30-year (fixed-rate mortgage) came in under 6 percent for the last 22 weeks of this year. As a matter of fact, mortgage rates in 2004 averaged around 5.84 percent, the second lowest annual rate ever recorded in the history of Freddie Mac’s Primary Mortgage Market Survey,” said Amy Crews Cutts, Freddie Mac deputy chief economist. “Total home sales reflected those affordable rates by setting new record-breaking high levels for the year.
“Although mortgage rates are expected to rise in 2005, it will not be to a big enough degree to take much of the steam out of the housing industry. Next-year sales may drop off slightly from this year’s banner pace, but the industry will continue to be healthy and robust well into the future.”
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